Please use this identifier to cite or link to this item: http://hdl.handle.net/10419/18894
Authors: 
Tabellini, Guido
Year of Publication: 
2004
Series/Report no.: 
CESifo Working Paper 1256
Abstract: 
This paper discusses the recent literature on the role of the state in economic development. It concludes that government incentives to enact sound policies are key to economic success. It also discusses the evidence on what happens after episodes of economic and political liberalizations, asking whether political liberalizations strengthen government incentives to enact sound economic policies. The answer is mixed. Most episodes of economic liberalizations are indeed preceded by political liberalizations. But the countries that have done better are those that have managed to open up the economy first, and only later have liberalized their political system.
Subjects: 
political liberalization
democracy
economic development
JEL: 
O1
O11
Document Type: 
Working Paper

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