Corruption and political stability: Does the youth bulge matter?

Farzanegan, Mohammad Reza; Witthuhn, Stefan

doi:10.1016/j.ejpoleco.2016.12.007

Cited by 80 publications

(54 citation statements)

References 92 publications

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“…Krieger and Meierrieks (2016a), in an analysis of 114 countries from 1985 to 2012, show a robust association between higher levels of income inequality and terrorism. Farzanegan and Witthuhn () also find a consistent negative effect of higher income inequality on political stability in their panel of more than 100 countries from 1984 to 2012. In the case of Iran, we can trace a continuous increase in income inequality (based on an estimate of the Gini index of household income inequality) prior to the Islamic Revolution of 1979.…”

Section: Introductionmentioning

confidence: 79%

Oil booms and inequality in Iran

Farzanegan

Krieger

2018

Review Development Economics

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We study the response of income inequality to positive per capita oil and gas revenue shocks in Iran. Using historical data from 1973 to 2016 and vector autoregression (VAR) as well as vector error correction (VECM) model‐based impulse‐response functions, we find a positive and statistically significant response of income inequality to oil booms. We also explore possible channels through which oil booms may increase inequality, including private sector credit growth, construction investment, international trade (imports) and real economic output. We find that following an oil boom, higher imports, private sector credit growth, and real economic output can explain the increased income gap to a certain degree in Iran's oil‐based economy. Our analysis can help policymakers evaluate and accommodate the possible positive or negative effects of inequality in Iran resulting from the 2016 lifting of the embargo against the country.

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Section: Introductionmentioning

confidence: 79%

Oil booms and inequality in Iran

Farzanegan

Krieger

2018

Review Development Economics

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“…In the view of Neudorfer and Theuerkauf (2014), corruption distorts the formal operation of institutions and widens economic inequalities among different groups of the society which eventually lead to political instability. Similarly, Farzanegan and Witthuhn (2017) noted a positive correlation between corruption and political instability particularly in countries where there is high proportion of youth population compared to elder ones. On the other hand, special treatment and accommodation of private interests through corruption can moderate political instability (Fjelde, 2009).…”

Section: Conceptual Frameworkmentioning

confidence: 93%

Effect of corruption and political instability on enterprises’ innovativeness in Ethiopia: pooled data based

Shumetie

Watabaji

2019

J Innov Entrep

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The aim of this study is to investigate the effects of corruption and political instability on Ethiopian enterprises' innovativeness based on pooled data from 644 and 848 enterprises (manufacturing, retailing, and non-retailing services) surveyed in 2011 and 2015, respectively by the World Bank. Both descriptive statistics and structural equation modeling (SEM) were employed for the data analysis. The descriptive statistics results revealed the decline in Ethiopian enterprises' innovativeness during 2015 in comparison with 2011. Similarly, Internet access and training provided to permanent employees somehow decrease over the study period, which are believed to be unfavorable for enterprises' innovativeness. The model results revealed significant greasing effects of corruption, power outage, time and capital budget for R&D activities, exposure to foreign markets, provision of formal training to permanent employees, and number of employees with high school education on Ethiopian enterprises' innovativeness. However, political instability has significant negative effects on enterprises' innovativeness in the country. The study implies that quality of labor, access to training and foreign markets, and political stability are covariates that seek special attention of enterprises and other concerned parties to enhance innovativeness.

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“…The demographic transition may also explain the link with democracy because older people help in mediating conflicts, whereas young populations will have a greater propensity for violent conflict [60,61]. This 'youth bulge' has been linked with autocracy and democratic recession [62][63][64].…”

Section: Origins Of Secular-rationality and Cosmopolitanismmentioning

confidence: 99%

Cultural prerequisites of socioeconomic development

2020

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In the centuries since the enlightenment, the world has seen an increase in socioeconomic development, measured as increased life expectancy, education, economic development and democracy. While the co-occurrence of these features among nations is well documented, little is known about their origins or co-evolution. Here, we compare this growth of prosperity in nations to the historical record of cultural values in the twentieth century, derived from global survey data. We find that two cultural factors, secular-rationality and cosmopolitanism, predict future increases in GDP per capita , democratization and secondary education enrollment. The converse is not true, however, which indicates that secular-rationality and cosmopolitanism are among the preconditions for socioeconomic development to emerge.

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Corruption and political stability: Does the youth bulge matter?

Cited by 80 publications

References 92 publications

Oil booms and inequality in Iran

Oil booms and inequality in Iran

Effect of corruption and political instability on enterprises’ innovativeness in Ethiopia: pooled data based

Cultural prerequisites of socioeconomic development

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