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Liberty, Security, and Accountability: The Rise and Fall of Illiberal Democracies

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  • Gabriele Gratton

    (UNSW Business School)

  • Barton E. Lee

    (UNSW Business School)

Abstract

We study a model of the rise and fall of illiberal democracies. Voters value both liberty and economic security. In times of crisis, voters may prefer to elect an illiberal government that, by violating constitutional constraints, offers greater economic security but less liberty. However, violating these constraints allows the government to manipulate information, in turn reducing electoral accountability. We show how elements of liberal constitutions induce voters to elect illiberal governments that remain in power for inefficiently long—including forever. We derive insights into what makes constitutions stable against the rise of illiberal governments. We extend the model to allow for illiberal governments to overcome checks and balances and become autocracies. We show that stronger checks and balances are a double-edged sword: they slow down autocratization but may make it more likely. We discuss the empirical relevance of our theoretical framework and its connection to real world examples.

Suggested Citation

  • Gabriele Gratton & Barton E. Lee, 2020. "Liberty, Security, and Accountability: The Rise and Fall of Illiberal Democracies," Discussion Papers 2020-13a, School of Economics, The University of New South Wales.
  • Handle: RePEc:swe:wpaper:2020-13a
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    File URL: http://research.economics.unsw.edu.au/RePEc/papers/2020-13a.pdf
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    1. Marcella Alsan & Luca Braghieri & Sarah Eichmeyer & Minjeong Joyce Kim & Stefanie Stantcheva & David Y. Yang, 2023. "Civil Liberties in Times of Crisis," American Economic Journal: Applied Economics, American Economic Association, vol. 15(4), pages 389-421, October.
    2. Jacopo Bizzotto & Eduardo Perez-Richet & Adrien Vigier, 2020. "Communication via Third Parties," Working Papers 202006, Oslo Metropolitan University, Oslo Business School.
    3. Chris Bidner & Shirleen Manzur, 2022. "A Theory of Illiberal Democracy and Political Transitions," Discussion Papers dp22-06, Department of Economics, Simon Fraser University.

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