Development aid and growth in transition countries

Empirical studies normally analyze diverse and heterogeneous groups of countries, producing very mixed evidence on the effectiveness of development aid in promoting growth. We focus on whether aid promotes economic growth in transitional economies. We find that aid, on average, has had a positive impact on growth for this specific group of countries. This result is robust to samples, estimators, and the use of alternate instruments to address endogeneity. Aid effectiveness is not conditional on good policy and there is little evidence of non-linear growth effects arising from aid.

Aid and institutions in transition economies

We investigate whether aid contributed to institutional development in transition economies. We find that aid flows have a positive effect on democratization, especially on constraints on the executive and political participation. At the same time, total aid has no effect on overall quality of governance, while US aid appears to have a negative impact on some dimensions of governance. Aid's differential impact on democracy and governance is consistent with uneven development of institutions and the democracy consolidation hypothesis. We also find that aid has a non-linear effect on democracy. Openness has a positive effect on both democracy and good governance. Oil resources have an adverse effect on democracy. Adult mortality, civil war and adherence to Islam are all detrimental to good governance.

Political institutions as substitute for democracy: a political economy analysis of economic growth

This manuscript empirically assesses the effects of political institutions on economic growth. It analyzes how political institutions affect economic growth in different stages of democratization and economic development by means of dynamic panel estimation with interaction terms. The new empirical results obtained show that political institutions work as a substitute for democracy promoting economic growth. In other words, political institutions are important for increasing economic growth, mainly when democracy is not consolidated. Moreover, political institutions are extremely relevant to economic outcomes in periods of transition to democracy and in poor countries with high ethnical fractionalization.

Democracy and capitalist revolution

Democracy became the preferred and consolidated form of government only in the twentieth century. It is not sufficient to explain this change solely by reference to rational motives, nor by detecting processes and leadership. A historical approach is required. The new historical fact that led to the change of preference from aristocratic rule to democracy is the capitalist revolution, which changed the manner of appropriating the economic surplus from violence to the market. This is the first necessary condition for democracy. The disappearance of the fear of expropriation, the rise of middle classes and the pressures of the poor or of the workers are the second, third and fourth new historical facts that opened the way for the transition from the liberal to the liberal-democratic regime. After these four conditions were fulfilled, the elites ceased to fear that they would be expropriated if universal suffrage was granted. Eventually, after the transition, the democratic regime became the rational choice for all classes. The theory presented here does not predict transitions, since countries often turn democratic without fully realized historical conditions, but it predicts democratic consolidation, since no country that has completed its capitalist revolution falls back into authoritarianism.

Liberalism, Marxism and Democratic Theory Revisited: Proposal of a Joint Index of Political and Economic Democracy

Liberalism and Marxism are two schools of thought which have left deep imprints in sociological, political and economic theory. They are usually perceived as opposite, rival approaches. In the field of democracy there is a seemingly insurmountable rift around the question of political versus economic democracy. Liberals emphasize the former, Marxists the latter. Liberals say that economic democracy is too abstract and fuzzy a concept, therefore one should concentrate on the workings of an objective political democracy. Marxists insist that political democracy without economic democracy is insufficient. The article argues that both propositions are valid and not mutually exclusive. It proposes the creation of an operational, quantifiable index of economic democracy that can be used alongside the already existing indexes of political democracy. By using these two indexes jointly, political and economic democracy can be objectively evaluated. Thus, the requirements of both camps are met and maybe a more dialogical approach to democracy can be reached in the debate between liberals and Marxists. The joint index is used to evaluate the levels of economic and political democracy in the transition countries of Eastern Europe.

Learning Democracy Together in School? : Student and Teacher Attitudes in Bosnia and Herzegovina

The principal aim of this study is to examine attitudes and values, through questionnaires, among students and teachers in the last grade of primary school (grade 8) regarding issues related to authoritarianism, democracy, human rights, children rights, conflict resolution and legislation in Bosnia and Herzegovina. A second aim is to explore and analyze the role of the international community in the democratization and education processes in the light of globalization in this country through secondary sources of data, site visits and observations. Analysis of the student sample reveals suspicion towards democracy, especially when democracy was associated with politics and politicians. When the issue of democracy was de-contextualized from Bosnia and Herzegovina realities in the questionnaire, students showed more positive attitudes towards it. Students generally agreed with very strong authoritarian statements. High achieving students were more democratic, more socially responsible, more tolerant regarding attitudes towards religion, race and disabilities, and less authoritarian compared to low achievers. High achievers felt that they had influence over daily events, and were positive towards social and civil engagement. High achievers viewed politics negatively, but had high scores on the democracy scale. High achievers also agreed to a larger extent that it is acceptable to break the law. The more authoritarian students were somewhat more prone to respond that it is not acceptable to break the law. The major findings from the teacher sample show that teachers who agreed with non-peaceful mediation, and had a non-forgiving and rigid approach to interpersonal conflicts, also agreed with strong authoritarian statements and were less democratic. In general, teachers valued students who behave respectfully, have a good upbringing and are obedient. They were very concerned about the general status of education in society, which they felt was becoming marginalized. Teachers were not happy with the overloaded curricula and they showed an interest in more knowledge and skills to help children with traumatic war experiences. When asked about positive reforms, teachers were highly critical of, and dissatisfied with, the educational situation. Bosnia and Herzegovina is undergoing a transition from a state-planned economy and one party system to a market economy and a multi party system. During this transition, the country has become more involved in the globalization process than ever. Today the country is a semi-protectorate where international authorities intervene when necessary. The International community is attempting to introduce western democracy and some of the many complexities in this process are discussed in this study. Globalization processes imply contradictory demands and pressures on the education system. On one hand, economic liberalization has affected education policies —a closer alignment between education and economic competitiveness. On the other hand, there is a political and ideological globalization process underlying the importance of human rights, and the inclusiveness of education for all children. Students and teachers are caught between two opposing ideals — competition and cooperation.

Gender equality and human development in Macedonia during transition (1991-2006)

The present thesis treats the issue of gender equality in Macedonia during the period of transition from the socialist system to the one of parliamentary democracy. The main aim is to mainstream the gender perspective in the analysis of the transitional policies through the examination of the basic citizenship rights to which citizens are entitled and by the means of the evaluation of their capabilities to exercise these rights. Gender equality, as one of the main strongholds of the concept of human development is measured through the application of nine gender relevant capabilities in a Case study conducted within selected municipalities in the country. Through the analysis of the Macedonian constitutional and legal framework and the assessment of gender based inequalities, the research questions the need for the enactment of a process of engendering of citizenship, which would integrate gender based differences, contemplate the private sphere of citizens lives and pledge participation in the political life of the country. The thesis, finally, analyses the gender equality strategy of the Macedonian government with the purpose to evaluate whether it is context based, i.e. it tackles the main fields where inequalities emerge and in this context whether it envisages a process of engendering of citizenship.

Democratic Transition and Political Patronage

Mr. Korosenyi begins by analysing the particular relationship holding between politics and administration in different countries. Within Europe three major patterns have emerged in the 20th century. Firstly there is the politically neutral British Civil Service, secondly the German and French state bureaucracies, which traditionally are supposed to embody the "common good", and thirdly there is the patronage system of the so-called consociate democracies, e.g. Austria. In general Mr. Korosenyi believes that, though politics do not penetrate into the Hungarian administration to the extent they do in Belgium and Austria, nevertheless, there is a stronger fusion than there is in the traditional British pattern. He is particularly interested in this relationship with regard to its effect on democratic institution building and the stabilisation of the new regime in Hungary, now the old "nomenklatura" system has been abolished. The structure of the Hungarian government was a result of the constitutional amendments of 1989 and 1990. Analysing this period, it becomes clear that for all the political actors who initiated and supported the democratic transition to democracy, the underlying assumption was a radical depoliticisation of the administration in order to maintain its stability. The political leadership of the executive is a cabinet government. The government is structured along ministries, each headed by a politician, i.e. the minister, who is a member of the cabinet. The minister's political secretary is not a cabinet member, but he or she is a politician, usually a member of the parliament. The head of the administration of the ministry is the administrative state secretary, who is a civil servant. He or she usually has four deputies, also civil servants. Naturally it is assumed that there should be a clear separation between politicians and civil servants. However in practice, the borders can be blurred, giving rise to a hybrid known as the "political civil servant". Mr. Korosenyi analyses the different faces of these hybrids. They are civil servants for the following reasons. They need special educational qualifications, working experience, a civil service exam etc., they are not allowed to do anything which is incompatible with their impartial role, and they cannot occupy political office nor may they appear in the name of any political party. On the other hand, the accepted political dimension to their function is revealed by the following facts. The state secretary (a civil servant) may participate in cabinet meetings instead of the minister. The state secretary is employed by the minister. A state secretary or any of their deputies can be dismissed at any time by the minister or the prime minister. In practice then, ministers appoint to these senior administrative positions civil servants whose personal and political loyaties are strong. To the second level of political patronage in ministries belong the ministerial cabinet, press office and public relation office. The ministerial cabinet includes the private advisors and members of the personal staff of the minister. The press office and the PR office, if they exist, are not adjusted to the administrative hierarchy of the ministry, but under the direct control of the minister. In the beginning of the 1990s, such offices were exceptions; in the second half of the 90s they are accepted and to be found in most ministries. Mr. Korosenyi's work, a 92-page manuscript of a book in Hungarian, marks the first piece of literature within the field of political science which analyses the structure of the Hungarian government in the 1990s and the relationship between the political leadership and the public administration.

Parti communiste et féminisme. De l’antifascisme à la transition démocratique en Espagne

Dans les années 1930, les femmes membres du Parti communiste espagnol (PCE) collaborent avec des représentantes du féminisme et réclament une égalité pour les femmes sans pour autant se déclarer féministes. Pendant la guerre civile, elles ne remettent pas en question l’attribution de tâches maternelles aux femmes, mais elles revendiquent une participation politique dans les mêmes conditions que les hommes. Au cours des années 1970 cependant, la culture politique communiste traditionnelle, qui repose sur une relation de genre inégale, est remplacée par une nouvelle culture, dans laquelle socialisme et égalité vont de pair. Pendant la transition démocratique, les militantes se considèrent comme féministes et demandent que les fondements théoriques du féminisme soient assumés par le Parti.

Bringing the Past Back in: How Attitudes towards the Democratic Transition Influence the Portuguese Voter

This article analyses the way in which attitudes towards the transition to democracy explain party identification and ideology in Portugal. This question is important because the transition to democracy in Portugal was a turbulent process marked by a rupture with the past and institutional fluidity. It has also conditioned the main political parties’ relationships with the electorate and each other since 1974. I compare the same explanatory model results from two surveys, conducted in 2004 and 2014, respectively, to understand the extent to which perceptions about the transition help characterise the Portuguese voter over the last decade.

What can Arab countries learn from the post-communist transition? MEDPRO Commentary, 31 May 2012

More than a year has passed since the start of the political uprising against the authoritarian regimes in the Arab world. But, as demonstrated by the ongoing unrest in Syria, the process is far from over. Meanwhile, nations that have already rid themselves of their authoritarian rulers (Tunisia, Egypt, Libya and Yemen), must decide where to go now and how to manage their political and economic transitions. To a lesser extent, a similar challenge is being faced by those constitutional monarchies (such as Morocco or Jordan) that accelerated reforms in order to avoid political destabilisation.   Many politicians and experts, especially those from Central and Eastern Europe, suggest that their Arab colleagues should learn from the post‐communist transition of the early 1990s. However, while learning from others’ experience is always a useful exercise, the geopolitical and socio‐economic context of the Arab revolution appears to be different, in many respects, from that of former Soviet bloc countries more than twenty years ago.

The Tunisian Revolution: An Opportunity for Democratic Transition. MEDPRO Commentary, 24 January 2011

To help promote a peaceful transition to democracy in Tunisia, a new MEDPRO Commentary by Rym Ayadi, Silvia Colombo, Maria Cristina Paciello and Nathalie Tocci calls upon the EU to act quickly on its declaration of support for “a genuine democratic transition” and to consult with political parties both from the transition government and beyond to prepare for the running of the next elections. A positive resolution of this crisis will only be achieved if the internal and external players follow the lessons of successful democratic transitions elsewhere.

Abkhazia’s ‘creeping’ incorporation. The end of the experiment of a separatist democracy. OSW Commentary 164, 2015-03-12

On 5 March 2015 a Russian-Abkhazian treaty on alliance and strategic partnership came into effect; it had been signed on 24 November 2014. In fact, the treaty provides a “roadmap” for the incorporation of Abkhazia into the Russian area of defence and economic and social affairs: as soon as the transition periods defined in the treaty expire, Russian standards and legal regulations will be rolled out in these areas. Despite maintaining the formal status of the Abkhazian government institutions and attributes of statehood (which, however, is a fact of minor importance, as Abkhazia is not internationally recognised as a state), the treaty’s entry into force will de facto bring the current model of functioning of this para-state to an end.

The end of transition?:The role of informal economies in the post-Soviet space

This book challenges the accepted notion that the transition from the command economy to market based systems is complete across the post-Soviet space. While it is noted that different political economies have developed in such states, such as Russia’s ‘managed democracy’, events such as Ukraine gaining ‘market economy status’ by the European Union and acceding to the World Trade Organisation in 2008 are taken as evidence that the reform period is over. Such thinking is based on numerous assumptions; specifically that economic transition has defined start and end points, that the formal economy now has primacy over other forms of economic practices and that national economic growth leads to the ‘trickle down’ of wealth to those marginalised by the transition process. Based on extensive ethnographic and quantitative research, conducted in Ukraine and Russia between 2004 - 2007, this book questions these assumptions by stating that the economies that operate across post-Soviet spaces are far from the textbook idea of a market economy. Through this the whole notion of ‘transition’ is problematised and the importance of informal economies to everyday life is demonstrated. Using case studies of various sectors, such as entrepreneurial behaviour and the higher education system, it is also shown how corruption has invaded almost all sectors of the post-Soviet every day.

Economic transition in Central Europe and the Commonwealth of Independent States

Fifteen years ago, twenty-seven countries in Europe and Central Asia embarked on their economic transition paths. For some, the outcome was a considerable success. Several others are still struggling to shed the inheritance of the past and to correct more recent policy mistakes. Why were post-Communist recessions so long in some countries and growth disappointing? Why was fiscal performance so different? Was democracy a factor, which facilitated reforms or rather slowed them down? This book discusses these questions in the context of new empirical evidence, including a critical examination of the main themes in the economics of transition.