POLS 0200 Chapter 6: Economic Determinants of Democracy and Dictatorship

Modernization theory basic summary

Economic explanation for democracy

• All societies inevitably pass through the same stages of economic development

• Social structure becomes more complex —> technological advancements produces autonomy and private info, civil society emerges, dictatorial forms of control lose their effectiveness

• Democracy will develop as countries advance economically, and is more likely to survive in affluent countries

• Overall: Modernization theory predicts that economic development will help with BOTH the emergence and survival of democracy

Survival story version of modernization theory + similarities and differences

Economic development only helps democracies SURVIVE but does not help countries become democratic

• Helps with sustaining but not with transitioning from dictatorship

Similarities with modernization theory:

• Democracy is more common in rich than poor countries.

• Transitions to dictatorship become less likely as income increases.

Other variant of modernization theory

NOT economic development that encourages democratization, but changes in the socioeconomic structure that accompany economic development in the modernization process

• Shift from agriculture to manufacturing and services

• Early modern Europe changes and its effect on England:

  • Economic changes caused shift in economic power away from traditional agricultural elites who controlled observable assets (crops) to a rising class of wool producers, financial intermediaries, merchants (controlled hard to observe assets)

The state can only predate on observable assets.

• This new economic elites middle class can hide assets from state, so monarch had to negotiate to continue extracting revenue through tax

• In return for tax, elites demanded limits to state predation

• Increasing power of Parliament (institution representing interests of economic elite) vs the monarch

Yay!

yay!