Regime type and good governance in low and high income states: what is the empirical link?

Abstract

This analysis looks at the link between regime type and good governance across four different levels of development – low income countries, medium-low income countries, medium-high income countries, and high income countries. Through pooled time series analysis of more than 170 countries with yearly or bi-yearly data from 1996 to 2009, I find that democracies are better governed than non-democracies. This relationship is robust across all regime types. Even at a low level of development, countries that elect their representatives in free and fair elections have a better regulatory framework and are more efficient and transparent. The practical implications of this finding are that a democratically governed state will most likely have a superior social and economic track record than a non-democracy.