This paper establishes a simple model of long run economic and political development, which is driven by the inherent technical features of different factors in production, and political conflicts among factor owners on how to divide the outputs. The main capital form in economy evolves from land to physical capital and then to human capital, which enables the respective factor owners (landlords, capitalists, and workers) to gain political powers in the same sequence, shaping the political development path from monarchy to elite ruling and finally to full suffrage. When it is too costly for any group of factor owners to repress others, political compromise is reached and economic progress is not blocked; otherwise, the political conflicts may lead to economic stagnation.
Economic History | Political Economy
International Economic Review
Wiley: 24 months
The coevolution of economic and political development from monarchy to democracy. (2012). International Economic Review. 53, (4), 1341-1368. Research Collection School Of Economics.
Available at: http://ink.library.smu.edu.sg/soe_research/1982
Creative Commons License
This work is licensed under a Creative Commons Attribution-Noncommercial-No Derivative Works 4.0 License.