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Autocratic Transitions and Growth

Author

Listed:
  • Tommaso Nannicini
  • Roberto Ricciuti
Abstract
In this paper we use a transparent statistical methodology – synthetic control methods – to implement data-driven comparative studies about the impact of autocratic transition on real per capita GDP. The applied methodology compares the growth of countries that experienced a transition to autocracy with the growth of a convex combination of similar countries that remained democratic, and it accommodates for the time-varying impact of unobservable heterogeneity. To implement this statistical framework, in a panel of 160 countries, we focus on 14 episodes of transition from democracy to autocracy. We find that the effects of autocratic transitions come in all shapes and sizes, since our data are split in almost equal parts between insignificant, negative, and positive effects. We also find that negative effects tend to get worse over time, and that African countries are badly affected by the autocratic transition possibly because of a resource curse.

Suggested Citation

  • Tommaso Nannicini & Roberto Ricciuti, 2010. "Autocratic Transitions and Growth," CESifo Working Paper Series 2967, CESifo.
  • Handle: RePEc:ces:ceswps:_2967
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    File URL: https://www.cesifo.org/DocDL/cesifo1_wp2967.pdf
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    References listed on IDEAS

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    Citations

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    Cited by:

    1. Flachaire, Emmanuel & García-Peñalosa, Cecilia & Konte, Maty, 2014. "Political versus economic institutions in the growth process," Journal of Comparative Economics, Elsevier, vol. 42(1), pages 212-229.
    2. Ricciuti, Roberto, 2010. "Accumulazione del capitale e crescita economica tra Italia liberale e regime fascista," POLIS Working Papers 141, Institute of Public Policy and Public Choice - POLIS.
    3. Aney, Madhav S. & Ko, Giovanni, 2015. "Expropriation risk and competition within the military," European Journal of Political Economy, Elsevier, vol. 39(C), pages 125-149.
    4. Vincenzo Bove & Roberto Nisticò, 2014. "Coups d’état and defense spending: a counterfactual analysis," Public Choice, Springer, vol. 161(3), pages 321-344, December.
    5. García-Peñalosa, Cecilia & Konte, Maty, 2014. "Why Are Women Less Democratic Than Men? Evidence from Sub-Saharan African Countries," World Development, Elsevier, vol. 59(C), pages 104-119.
    6. Madsen, Jakob B. & Raschky, Paul A. & Skali, Ahmed, 2015. "Does democracy drive income in the world, 1500–2000?," European Economic Review, Elsevier, vol. 78(C), pages 175-195.
    7. Ilaria Petrarca & Roberto Ricciuti, 2014. "Synthetic ‘Real Socialism’: A Counterfactual Analysis of Political and Economic Liberalizations," Working Papers 11/2014, University of Verona, Department of Economics.
    8. Gunes Gokmen & Tommaso Nannicini & Massimiliano Gaetano Onorato & Chris Papageorgiou, 2021. "Policies in Hard Times: Assessing the Impact of Financial Crises on Structural Reforms," The Economic Journal, Royal Economic Society, vol. 131(638), pages 2529-2552.
    9. Cummins Joseph & Miller Douglas L. & Smith Brock & Simon David, 2024. "Matching on Noise: Finite Sample Bias in the Synthetic Control Estimator," Journal of Econometric Methods, De Gruyter, vol. 13(1), pages 67-95, January.

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    More about this item

    Keywords

    autocracy; democracy; growth; synthetic control methods;
    All these keywords.

    JEL classification:

    • C21 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Cross-Sectional Models; Spatial Models; Treatment Effect Models
    • C23 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Models with Panel Data; Spatio-temporal Models
    • O43 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - Institutions and Growth
    • O57 - Economic Development, Innovation, Technological Change, and Growth - - Economywide Country Studies - - - Comparative Studies of Countries

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