Capable (developmental) State and Democracy in Pre-Industrial Countries

Saturday, 4 July 2015: 10:15 AM-11:45 AM
CLM.B.06 (Clement House)
Luiz Carlos Bresser-Pereira, FGV, São Paulo, Brazil
Abstract. This paper distinguishes three types of countries (rich, middle-income, and pre-industrial) and focus on the later ones. Its main question is which is the possibility that pre-industrial countries are well governed and display consolidated democracies, given the fact that no country made its industrial and capitalist revolution within a political regime that could be defined as democratic – that assured civil rights and the universal suffrage. Nevertheless, these countries are today pressured from the bottom (its people) and from the top (the rich countries) to turn democratic. Historically, all industrial revolutions were the outcome of a developmental strategy, and none of them were accomplished in the realm of democracy. This is the main contradiction and the main challenge faced by populist leaders who try to develop their countries, having as adversaries the local liberal oligarchy and the rich countries. They must build a capable state, but their poorly organized societies do not help. They must give priority to economic growth, but the people ask for more social services. They must industrialize, but rich countries press for liberalization and democracy. Thus, to govern these countries is extremely difficult.