Political Constraints and Economic Reform: Empirical Evidence from the Post-Communist Transition in the 1990s

Journal of Comparative Economics 34(3):446-466, 2006 DOI: 10.1016/j.jce.2006.05.001

Posted: 6 Sep 2014

See all articles by Jukka Pirttila

Jukka Pirttila

United Nations - World Institute for Development Economics Research (UNU/WIDER); Tampere University of Technology

Byung-Yeon Kim

Seoul National University

Date Written: July 8, 2006

Abstract

Using data from transition economies, this paper examines linkages between political constraints and economic reforms. Estimation results suggest that progress in reform is positively associated with public support for reforms, which is affected by income inequality and expected individual performance during future reforms. These findings support influential theories that both ex post and ex ante political constraints are instrumental in determining the extent of progress in welfare-enhancing reforms. We also find evidence to support reform sequencing starting with a reform that is both popular and stimulatory to other reforms.

Keywords: Political constraints, Economic reform, Sequencing, Dynamic panel models

JEL Classification: P26, O11, C33

Suggested Citation

Pirttila, Jukka and Kim, Byung-Yeon, Political Constraints and Economic Reform: Empirical Evidence from the Post-Communist Transition in the 1990s (July 8, 2006). Journal of Comparative Economics 34(3):446-466, 2006 DOI: 10.1016/j.jce.2006.05.001. Available at SSRN: https://ssrn.com/abstract=2491797

Jukka Pirttila (Contact Author)

United Nations - World Institute for Development Economics Research (UNU/WIDER) ( email )

Katajanokanlaituri 6B
Helsinki, FIN-00160
Finland

Tampere University of Technology ( email )

P.O. 541, Korkeakoulunkatu 8 (Festia building)
Tampere, FI-33101
Finland

Byung-Yeon Kim

Seoul National University ( email )

San 56-1, Silim-dong, Kwanak-ku
Seoul 151-742
Korea

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