Suchergebnisse

This publication makes a contribution to the literature on economic change by exploring the institutional transition from state-led import substitution to deregulation and globalisation in India, the world's most populous democracy.

Abstract: Since Prime Minister Narendra Modi and the Hindu-nationalist Bharatiya Janata Party (BJP) came to power in 2014, the India's democracy has flagged. Modi's government has been squeezing civic space, attacking the press, political opponents, and nongovernmental organizations (NGOs), and stoking ethnic tensions. The state has also used an array of laws to harass critics of the regime. Yet there is still a chance that the power of the vote will lead to a democratic revival. A regime is most vulnerable at an intermediate level of repression: where the state is undermining the rule of law to an extent that is significantly harmful to the political opposition and civil society, but the electoral door to democratic revival has not yet closed completely. This is precisely where India is today. The most promising avenue of democratic resistance is at the subnational level.

This paper is part of the Heidelberg Inaugural Lecture delivered in the Alte Aula on 15 November 2017, and of a public lecture delivered at the centre for Economic and Social Sciences in Hyderabad. It presents a view regarding state capacity in India after discussing the extensive literature on clientelism. It proposes that state capacity in India has much to do with the way in which the central and sub-national states cogitate about policy goals and the means to achieve them. For example, is import substitution or export promotion the way to grow? Will growth trickle down to the poor or is nonmarket re-distribution the way to alleviate poverty? These issues are debated between puzzling bureaucrats and powering politicians, and when they reach a tipping point, we see that the state finds capacity to deliver even in a liberal democracy like India. The paper proposes a tipping point model for understanding state capacity in the Indian liberal democracy. It suggests a way for liberal democracies to fight clientelism and develop the capacity to pursue their goals, even though these goals are often unrealized.