Entrenched Autocracy or New Democracy: Which Is Better for Business?

Kanybek Nur-tegin

Kyklos, 2014, vol. 67, issue 3, 398-419

Abstract: type="main">

The recent downfall of autocracies worldwide, most notably in the Middle East, raises the question: Do the new, more democratic regimes hold a promise of creating a better economic and business environment? To answer this question, I analyze a new large-scale firm-level dataset for the post-regime-change time horizon of up to 20 years. The main finding is that during the post-revolution time period the business environment is likely to worsen under the new politically unstable regimes that replace stable autocracies.

Date: 2014
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