The Effect of Democracy and Political Stability on Economic Growth: Empirical Evidence from BRICS-T Countries (2002-2020)

Year 2023, Volume: 31 Issue: 58, 161 - 178, 26.10.2023

Oğuzhan Sungur , Ali Altıner

https://doi.org/10.17233/sosyoekonomi.2023.04.08

Abstract

This study examines the impact of democracy and political stability on economic growth in BRICS-T countries from 2002-2020. A panel data analysis investigated the relationship between democracy, political stability, the absence of violence, and economic growth. Results indicate that the democratisation process positively impacts economic growth, while political stability has a negative impact. Additionally, the study found a positive effect on economic growth from the population, inflation, and public expenditures variables, while the variables of gross fixed capital accumulation, foreign direct investment, and urbanisation did not have a substantial effect on economic growth.

Keywords

Democracy, Political Stability, Economic Growth, Panel Data Analysis

Demokrasi ve Politik İstikrarın Ekonomik Büyüme Üzerindeki Etkisi: BRICS-T Ülkelerinden Ampirik Kanıtlar (2002-2020)

Abstract

Bu çalışma, politik iktisat çalışma konularından demokrasi ve politik istikrarın ekonomik büyüme üzerindeki etkisini 2002-2020 dönemi için BRICS-T ülkeler örnekleminde araştırmaktadır. Bu amaçla, demokrasi ve politik istikrar ve şiddetin yokluğu ile ekonomik büyüme arasında panel veri analizi gerçekleştirilmiştir. Analiz sonucunda demokratikleşme sürecinin ekonomik büyümeyi olumlu yönde etkilerken, politik istikrar ekonomik büyümeyi olumsuz yönde etkilediği tespit edilmiştir. Ayrıca nüfus, enflasyon ve kamu harcamaları değişkenlerinin ekonomik büyümeyi olumlu yönde etkilediği; brüt sabit sermaye birikimi, doğrudan yabancı sermaye yatırımı ve kentleşme değişkenlerinin ise ekonomik büyüme üzerinde anlamlı bir etkiye sahip olmadığı sonucuna varılmıştır.

Keywords

Demokrasi, Politik İstikrar, Ekonomik Büyüme, Panel Veri Analizi

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