Rising inequality and de-democratization

ABSTRACT

The literature on economic determinants of democratization has identified most importantly the positive effect of economic development and the negative effect of income inequality. We confirm these results using more recent data and dynamic panel models. In this regard, the 2018 World Inequality Report has noted that inequality is highest in the Middle East, where it has stayed stable at that high level for the past several decades.

KEYWORDS:

• Inequality
• income distribution
• democracy

JEL CODE:

• P16
• O10

Acknowledgements

We are grateful to two anonymous referees and participants at the ARD Conference at Stanford University.

Disclosure statement

No potential conflict of interest was reported by the authors.

ORCID

Hany Abdel-Latif http://orcid.org/0000-0003-3810-6807