Democracy and economic development

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Democracy and economic development Syllabus for the academic year 2017/2018 Course lecturer Prof. Nenad Zakošek, PhD E-mail: nzakosek@fpzg.hr Class location Lectures and seminars: Lepušićeva 6, 2 nd floor, room C Class hours Thursdays, 15:30-17:00 (lectures), 17:15-18:45 (seminars) Office location Fabkovićeva 1, 5 th floor Office hours for students Thursdays, 14:30-15:30, or by appointment Teaching methods The course consists of 12 lectures and seminar meetings. A mid-term (after the 8 th meeting) and a final written colloqium are optional. ECTS credits: 7 Semester Winter semester 2017/2018 Course obligations Seminar participation and seminar papers: 20% Written examination: 80% The final grade is composed of two parts: seminar participation and a written exam. All course participants are required to read the seminar assignments and participate in the seminar discussion. They are also obliged to either prepare a Powerpoint based seminar presentation or write a 1500 words written paper (based on additional literature). The presentation or paper, as well as regular attendance and engagement, will be evaluated. The acquired knowledge is verified through an obligatory written examination (which can be substituted by two optional colloquia). 1

Course description The course deals with the problem of economic prerequisites of democratization, which is a well-researched topic in comparative politics. Since the early 1960s there is an ongoing debate among political scientists on the relationship between economic development and establishing consolidated liberal democracies. A comparison of quantitative studies with large number of cases and qualitative historical studies with in-depth analysis of a small number of cases is given on the basis of Todd Landman s Issues and Methods in Comparative Politics. Another focus of the course are problems and theories discussed in Ronald Inglehart s and Christian Welzel s book Modernization, Cultural Change and Democracy: the author s reformulation of the modernization theory, the question how economic and social development affects value change and what is the link between modernization, value change and democratization. Finally, the question is raised about the origins and consequences of the financial and economic crises of 2008. A special emphasis is given to the problem of compatibility of capitalist economy, welfare state and democracy in Europe, based on analyses by Wolfgang Streeck and Claus Offe. Learning outcomes The course participants are expected to acquire knowledge about some fundamental concepts in comparative research, such as modernization, cultural change, regime change, class structure, class coalitions, economic development, liberal democracy, formal democracy, effective democracy, democratization and the sequence of human development. In particular, they should be able to understand and interpret different cases of socio-economic development and how they are related to the establishment of democratic or authoritarian regimes. In terms of methodology, course participants shall learn how to formulate research questions and write simple research papers based on secondary analysis of existing research studies. Through seminar meetings the course participants shall develop their abilities to understand and interpret literature dealing with particular theoretical and empirical issues, to prepare and present seminar papers and to discuss selected topics. Evaluation of learning outcomes Colloqium 5-6 points = 2 (satisfactory) 6,5-7,5 points = 3 (good) 8-8,5 points = 4 (very good) 9-10 points = 5 (excellent) Seminar presentation or paper 1 = failed, 2-5 points = grades 2-5 (satisfactory to excellent) Written exam 10-12 points = 2 (satisfactory) 12,5-15 points = 3 (good) 15,5-17,5 points = 4 (very good) 18-20 points = 5 (excellent) 2

Final exam grade 11-14 points = 2 (satisfactory) 14,5-17,5 points = 3 (good) 18-21 points = 4 (very good) 21,5-25 points = 5 (excellent) Reading requirements for written examination Todd Landman (2003) Issues and Methods in Comparative Politics, London & New York: Routledge, pp. 60-87. Ronald Inglehart and Christian Welzel (2005) Modernization, Cultural Change and Democracy, Cambridge and New York: Cambridge University Press. Seminar literature Colin Crouch (2004) Post-Democracy. Cambridge and Malden: Polity Press. Colin Crouch (2011) The Strange Non-Death of Neoliberalism. Cambridge and Malden: Polity Press. Luebbert, Gregory (1991) Liberalism, Fascism, or Social Democracy. Social Classes and the Political Origins of Regimes in Interwar Europe. New York and Oxford: Oxford University Press. Course structure (lectures) 1. (12 October) Course introduction: overview of the topics covered in the course, working methods and students' obligations, learning outcomes. 2. (19 October) Streeck: The crisis of democratic capitalism. 3. (26 October) Basic research concepts dealing with the relation between democracy and economic development; Landman: quantitative big N research studies. 4. (2 November) Landman: quantitative small N and single-country research studies. 5. (9 November) Landman: qualitative (comparative historical) research studies. 6. (16 November) Landman: example of a qualitative research study Rueschemeyer et al. Capitalist Development and Democracy, themes and country case studies. 7. (23 November) Inglehart and Welzel: A revised theory of modernization. 8. (30 November) Inglehart and Welzel: Modernization, cultural change and cultural traditions. 9. (7 December) Mid term colloqium: Landman, pp. 60-87; Inglehart and Welzel, pp. 1-93. 10. (14 December) Inglehart and Welzel: Socio-economic development and cultural change. 11. (21 December) General seminar discussion: Democracy and capitalism in contemporary Europe. 12. (11 January) Inglehart and Welzel: Democratic values and democratic institutions. 13. (18 January) Inglehart and Welzel: Civic culture, democracy and human development. 14. (25 January) Final colloquium: Inglehart and Welzel, pp. 94-300. 3

Seminar meetings 1. (12 October) Course introduction: explanation of seminar topics. Debate on capitalism and democracy. 2. (19 October) Introduction to Luebbert Liberalism, Fascism, or Social Democracy: Liberalism and the emergence of working class movements in Europe (2. Ties That Would Divide: Liberal-Labor Alliances in Britain, France, and Switzerland before the War, 3. Cleavage Structures and the Failure of Liberal Movements in Late Nineteenth- Century Europe, pp. 15-109). 3. (26 October) 4) Luebbert Liberalism, Fascism, or Social Democracy: 4. The Break with Liberalism and the Formation of Working-Class Movements (pp. 110-158) (student presentation). Guiding questions: What were the causes for the split between liberal parties and the working class in European societies at the turn of the century? Compare the outcomes of the rise of an independent labour movement in different European countries. 4. (2 November) Luebbert Liberalism, Fascism, or Social Democracy: 5. The Organization of Workers: Liberal and Aliberal Societies Compared (pp. 159-187) (student presentation). Guiding questions: What were the main features of the working class organizations in liberal and aliberal societies? What was the connection between trade unions and working class political parties? What was the impact of the economic structure and of the state? 5. (9 November) Luebbert Liberalism, Fascism, or Social Democracy 6. War, Crisis, and the Stabilization of the Liberal Order; 7. Narrowing the Aliberal Outcomes: Liberalism s Final Failure and the Irrelevance of Traditional Dictatorship (pp. 191-266) (student presentation). Guiding questions: What were the consequences of WW I and the economic crisis 1929-1933 for the liberal societies in Europe? Compare the situation of working class organizations in these societies? What were the consequences of the economic crisis 1929-1933 in the European aliberal societies? Why were liberal political forces unable to preserve liberal institutions in aliberal societies? Why were traditional dictatorships irrelevant in Europe? 6. (16 November) Luebbert Liberalism, Fascism, or Social Democracy: 8. Social Democracy and Fascism, 9. Conclusion: Class Alliances and Transition to Mass Politics (pp. 267-315) (student presentation). Guiding questions: What were the final outcomes of the interwar economic and political crisis in the aliberal societies in Europe? Describe the two aliberal models of social democracy and fascism. What general conclusions can be drawn from the comparison of political development in European societies until 1945? 7. (23 November) Colin Crouch Post-Democracy: 1. Why Post-Democracy? 2. The Global Firm: The Key Institution of the Post-Democratic World, 3. Social Class in Post-Democracy (pp. 1-69) (student presentation). Guiding questions: What is postdemocracy? Which economic developments have caused the emergence of postdemocracy? How has social stratification and class structure in contemporary capitalism influenced democratic politics? 8. (30 November) Colin Crouch Post-Democracy 4. The Political Party under Post- Democracy, 5. Post-Democracy and the Commercialization of Citizenship, 6. Conclusion: Where Do We Go From Here? (pp. 70-123) (student presentation) Guiding questions: How have political parties been transformed in post-democracy? What are the features of citizenship in contemporary capitalism? What are the consequences of post-democracy? 4

9. (14 December) Colin Crouch The Strange Non-Death of Neoliberalism: 1. The Previous Career of Neoliberalism, 2. The Market and Its Limitations, 3. The Corporate Takeover of the Market (pp. 1-70) (student presentation). Guiding questions: How does the author define the concept of neoliberalism? Describe the economic transformations characteristic for neoliberalism. 10. (21 December) General seminar discussion: Democracy and capitalism in contemporary Europe. 11. (11 January) Colin Crouch The Strange Non-Death of Neoliberalism: 4. Private Firms and Public Business, 5. Privatized Keynesianism: Debt in Place of Discipline (pp. 71-124) (student presentation). Guiding questions: How have relations between economy and state changed in neoliberalism? What is the economic and political function of debt? 12. (18 January) Colin Crouch The Strange Non-Death of Neoliberalism: 6. From Corporate Political Entanglement to Corporate Social Responsibility, 7. Values and Civil Society, 8. What s Left of What s Right? (pp. 125-180) (student presentation). Guiding questions: What are possible political answers to transformations that occurred in neoliberal economies and societies? 5

Additional literature Acemoglu, Daron, and Robinson, James A. (2006) Economic Origins of Dictatorship and Democracy. Cambridge and New York: Cambridge University Press. Acemoglu, Daron, and Robinson, James A. (2012) Why Nations Fail. The Origins of Power, Prosperity and Poverty. New York: Crown Press and London: Profile Books. Bohle, Dorothee, and Greskovits, Bela (2012) Capitalist Diversity on Europe s Periphery. Ithaca and London: Cornell University Press Bunce, Valerie (1999) The Political Economy of Postsocialism. Slavic Review, 58 (4): 756-793. Cangiani, Michele (2012-13) Freedom in a Complex Society. The Relevance of Karl polanyi s Political Philosophy in the Neoliberal Age. International Journal of Political Economy, 41 (4): 34-53. Frye, Timothy (2002) The Perils of Polarization. Economic Performance in the Postcommunist World. World Politics, 54 (3): 308-337. Jackman, Robert W. (1974) Political Democracy and Social Equality: A Comparaticve Analysis. American Sociological Review, 39 (1): 29-45. Jacobs, Lawrence R. (2010) Democracy and Capitalism: Structure, Agency, and Organized Combat. Politics & Society, 38 (2): 243-254. Moore, Barrington Jr. (1993) Social Origins of Dictatorship and Democracy. Boston: Beacon Press. Offe, Claus (2003) The European Model of Social Capitalism: Can It Survive European Integration. The Journal of Political Philosophy, 11 (4): 437-469. Pierson, Christopher (1992) Democracy, Markets and Capital: Are there necessary Economic Limits to Democracy? Political Studies, 40 (Special Issue): 83-98. Przeworski, Adam (1985) Capitalism and Social Democracy. Cambridge and New York: Cambridge University Press. Rueschemeyer, Dietrich, et al. (1992) Capitalist Development and Democracy. Chicago: University of Chicago Press. Streeck, Wolfgang (2011) The Crisis of Democratic Capitalism. New Left Review, 52 (71): 5-29. Streeck, Wolfgang (2011) Taking Capitalism Seriously: Towards an Institutionalist Approach to Contemporary Political Economy. Socio-Economic Review, 9 (1): 137-167. Streeck, Wolfgang (2012) How to Study Contemporary Capitalism. European Journal of Sociology, 53 (1): 1-28. Streeck, Wolfgang (2012) Markets and People. Democratic Capitalism and European Integration. New Left Review, 53 (73): 63-71. Sylvester, Kevin (2002) Democracy and Changes in Income Inequality. International Journal of Business and Economics, 1 (2): 167-178. Wallerstein, Immanuel (1983) Historical Capitalism with Capitalist Civilization. London and New York: Verso. Wallerstein, Immanuel (2004) World-Systems Analysis. An Introduction. Durham and London: Duke University Press. Wilensky, Harold L. (2002) Rich Democracies. Political Economy, Public Policy, and Performance. Berkeley and Los Angeles: University of California Press. Wucherpfennig, Julian, Deutsch, Franziska (2009) Modernization and Democracy: Theories and Evidence Revisited. Living Reviews in Democracy, 1 (1): 1-9. Available online at: https://www.lrd.ethz.ch/index.php/lrd/article/view/lrd-2009-4/14. 6