Development – RE-DESIGN

The political geography of human development

Published by demetriodor on November 12, 2018

The research I did for the previous post on the inadequacy of the widely-used term ‘Global South’ led me to some surprising results about the political geography of development. Although the relationship between latitude and human development is not linear, distance from the equator turned out to have a rather strong, although far from deterministic and not necessarily causal, link with a country’s development level, as measured by its Human Development Index (HDI). Even more remarkably, once we include indicators (dummy variables) for islands and landlocked countries, and interactions between these and distance from the equator, we can account for more than 55% of the variance in HDI (2017). In other words, with three simple geographic variables and their interactions we can ‘explain’ more than half of the variation in the level of development of all countries in the world today. Wow! The plot below (pdf) shows these relationships. In case you are wondering whether this results is driven by many small counties with tiny populations, it is not, When we run a weighted linear regression with population size as the weight, the adjusted R-squared of the model remains still (just above) 0.50. On a sidenote, including dummies for (former) communist countries and current European Union (EU) member states pushed the R-squared above 0.60. Communist regime or legacy is associated with significantly lower HDI, net of the geographic variables, and EU membership is associated with significantly higher HDI. The next question to consider is whether the relationship between…

The ‘Global South’ is a terrible term. Don’t use it!

Published by demetriodor on November 6, 2018

The Rise of the ‘Global South’ The ‘Global South‘ and ‘Global North‘ are increasingly popular terms used to categorize the countries of the world. According to Wikipedia, the term ‘Global South’ originated in postcolonial studies, and was first used in 1969. The Google N-gram chart below shows the rise of the ‘Global South’ term from 1980 till 2008, but the rise is even more impressive afterwards. Nowadays, the Global South is used as a shortcut to anything from poor and less-developed to oppressed and powerless. Despite this vagueness, the term is prominent in serious academic publications, and it even features in the names of otherwise reputable institutions. But, its popularity notwithstanding, the ‘Global South’ is a terrible term. Here is why. There is no Global South The Global South/Global North terms are inaccurate and misleading. First, they are descriptively inaccurate, even when they refer to general notions such as (economic) development. Second, they are homogenizing, obscuring important differences between countries supposedly part of the Global South and North groups. In this respect, these terms are no better than alternatives that they are trying to replace, such as ‘the West‘ or the ‘Third World‘. Third, the Global South/Global North terms imply a geographic determinism that is wrong and demotivational. Poor countries are not doomed to be poor, because they happen to be in the South, and their geographic position is not a verdict on their developmental prospects. The Global South/Global North terms are inaccurate and misleading Let me show you just how…

Protestants, Missionaries and the Diffusion of Liberal Democracy

Published by demetriodor on June 4, 2012

A new APSR article [ungated] argues for the crucial role of Protestant missionaries in the global spread of liberal democracy. The statistical analyses tease out the effect of missionaries from the influence of the characteristics of colonizers (Britain, the Netherlands, France, etc.) and pre-existing geographic, economic and cultural characteristics of the states. Interestingly, Protestant missionary influence not only remains a significant predictor of democracy outside the Western world once these factors are controlled for, but it renders them obsolete (which is a big deal because the same institutional, geographic, economic and cultural characteristics have been the usual explanations of democracy diffusion). On the other hand, the patterns in the data are consistent with the plausible mechanisms through which the effect of Protestant missionaries is exercised – the spread of newspapers, education, and civil society. I am sure this article is not going to be the last word on democracy diffusion, but it certainly puts the influence of Protestantism center stage. The major issue, I suspect, is not going to be methodological (since the article already considers a plethora of potential methodological complications in the appendix), but conceptual – to what extent the effect of Protestant missionaries can be conceptually separated from the improvements in education and the growth of the public sphere. In other words, do (did) you need the religious component at all, or education, newspapers and civil society would have worked on their own to make liberal democracy more likely (even if fostered by other channels than Protestant missionaries) . In terms of methodology, it might be interesting…

Inclusive institutions and economic development

Published by demetriodor on May 3, 2012

Francis Fukuyama reviews Why Nations Fail, the new book by Daron Acemoglu and James Robinson, at his blog. The review is fairly critical. Fukuyama agrees that institutions are of paramount importance for development (as you would expect given his own recent book) but is unsatisfied with the vague (or even missing) definitions of the two central concepts of the book – ‘inclusive institutions’ and ‘extractive institutions’. This conceptual stretching allows the labels to be applied quite arbitrarily to fit the argument of the book. In substantive terms the critique boils down to the question whether democratic (inclusive) institutions are necessary for stable economic development. In Fukuyama’s view they are not (think contemporary China) and might even be counterproductive (following Huntington). In Acemoglu and Robinson’s view, democratic political institutions and inclusive economic institutions are indispensible for sustained long-term development. Fukuyama’s quibble with Why Nations Fail fits into a line of argumentation he is in the midst of constructing which can be summarized as ‘good governance is necessary for development but democracy is not necessary for good governance’. His latest project, for example, is to develop a new conceptualization and measurement of governance which moves away from the traditional indicators of (Western-style) rule of law and democratic accountability. Here is a characteristic quote from the project’s announcement: One can think of many ways in which greater democratic participation actually weakens the quality of governance. Acemoglu and Robinson respond to Fukuyama’s review at their own blog. But in my opinion Fukuyama’s general critique (and his smaller points…

Slavery, ethnic diversity and economic development

Published by demetriodor on December 14, 2011

What is the impact of the slave trades on economic progress in Africa? Are the modern African states which ‘exported’ a higher number of slaves more likely to be underdeveloped several centuries afterwards? Harvard economist Nathan Nunn addresses these questions in his chapter for the “Natural experiments of history” collection. The edited volume is supposed to showcase a number of innovative methods for doing empirical research to a broader audience, and historians in particular. But what Nunn’s study actually illustrates is the difficulty of making causal inferences based on observational data. He claims that slave exports contributed to economic underdevelopment, partly through impeding ethnic consolidation. But his data is entirely consistent with a very different interpretation: ethnic diversity in a region led to a higher volume of slave exports and is contributing to economic underdevelopment today. If this interpretation is correct, it could render the correlation between slave exports and the lack of economic progress in different African states spurious – a possibility that is not addressed in the chapter. The major argument of Nunn’s piece is summarized in the following scatterplot. Modern African states from which more slaves were captured and exported (correcting for the size of the country) between the XVth and the XIXth centuries are associated with lower incomes per capita in 2000 (see Figure 5.1 on p.162, the plot reproduced below is actually from an article in the Quarterly Journal of Economics which looks essentially the same): The link grows only stronger after we take into…

Category: Development

The political geography of human development

The ‘Global South’ is a terrible term. Don’t use it!

Protestants, Missionaries and the Diffusion of Liberal Democracy

Inclusive institutions and economic development

Slavery, ethnic diversity and economic development