Doorsteps Toward Political and Economic Openness: Testing the North-Wallis-Weingast Transition Framework

Abstract

In this paper, we test the theoretical framework developed by North, Wallis, and Weingast (2009), who posit that limited-access societies need to meet three doorstep conditions before they can transit into open-access societies: (1) establishment of rule of law among elites, (2) adoption of perpetually existing organizations, and (3) political control of the military. We identify indicators reflecting these doorsteps and econometrically test their relationships with specific political and economic variables. We broadly confirm the logic behind the doorsteps as necessary conditions in the transition to open-access societies. The doorsteps influence economic and political processes, as well as each other, with varying intensities.

Keywords:

• doorstep conditions
• institutional development
• political and economic institutions
• transition