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Transcript

Question: Does democracy necessarily evolve out of economic growth?

 

David Dollar: I like to look to history, and so as a fact we can say that every country that’s reached a certain level of per capita income has become democratic. And the only exceptions are the very oil-rich states. So Saudi Arabia has a very high per capita income without being democratic, but it’s only those countries sitting on huge reserves of oil that have achieved that. Countries that have become rich through a more diverse development of manufacturing and services, every one of them that’s reached a certain per capita income has become democratic. So as someone who was a historian before he was an economist, I find that pretty persuasive.

 

July 3, 2007

 

Democracy and Development

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