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Europäisches Archiv für Soziologie
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ADAM PRZEWORSKI
( i ) This paper was originally prepared for a I appreciate comments by Neal Beck, John
meeting on Institutions, Behavior, and Outco Ferejohn, Jack Gladstone, Fernando Limongi,
mes, CEBRAP, Sao Paulo, March 12-14, 2003. and Ken Shepsle.
i65
AdamPRZEWORSKl, Department of Politics, New York University [adam.przeworski@
nyu.edu]
Arch.europ.sociol.,XLV,2(2004),p 165-p 188—0003 -9756/00/0000-776807.5operart+So. ioperpage©2004^[.£,.S.
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ADAM PRZEWORSKI
(2) For evidence that little has changed institutions can function only if they corres
since then, see Carothers (2002). pond to cultures, mores, religions, or geogra
(3) There is nothing new about the claim phic conditions. J. S. Mill considered the issue
that institutions are endogenous. Montesquieu of endogeneity in the first chapter of Conside
as well as Rousseau, the latter in his folkloric rations, entitled "To What Extent Forms of
description of Poland, claimed that particular Government are a Matter of Choice".
166
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INSTITUTIONS AND DEVELOPMENT
(4) For a discussion of this theme in Rous institutions as follows: Suppose a game theo
seau, see Holmes (2003). rist writes down a model of institutions (say of
(5) While the requirement that institutions separation of powers) and solves for the equi
be self-enforcing is generally shared (Hurwicz librium. If we observe that people regularly
1994; Diermeier and Krehbiel 2001, p. 11; behave in a way consistent with the equi
Greif 2002), this notion is far from self librium, the institution is self-enforcing.
evident. I like to think about "self-enforcing"
167
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ADAM PRZEWORSKI
(6) For the most careful analysis of this thesis, see Cohen (1973).
168
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INSTITUTIONS AND DEVELOPMENT
169
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ADAM PRZEWORSKI
(7) Since this paper deals with epistemolo reversal was that the four British offshoots
gical issues, I do not want to become mired in (Aus
facts. If one takes Maddison's (2003) data on tralia, Canada, New Zealand, and the United
development, one will discover that the States) passed their mother country and the
Caribbean islands which were wealthy around rest of Europe. Tropical countries were poorer
1700 were eventually passed by other countries as far back as the data go. See Przeworski
in the Americas. But the only spectacular (2004a).
170
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INSTITUTIONS AND DEVELOPMENT
(8) It is not quite clear who was there toinstitutional framework was controlled by the
"block". When first countries were undergoing metropolia. In turn, Latin America was
the industrial revolution, the Caribbean fighting for independence from 1810 to 1824
islands, except for Haiti, remained under and in no country were stable political institu
colonial rule: there were local elites but the tions established until the 1830s. Hence, as the
i7i
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ADAM PRZEWORSKI
"Blocking"and "reproduction"
United States took off to surpass England, controlled by colonial powers or simply did not
institutions in other countries were either exist.
172
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INSTITUTIONS AND DEVELOPMENT
(9) In fact, this reasoning can already beses on Livy. II.2, cited after Holmes 2003).
found in Machiavelli: "For everybody is eager (10) See, for example, Hafer (2003) for an
to acquire such things and to obtain property,
account in which those who end up with pro
provided that he be convinced that he will perty are those who are better at defending it
enjoy it when it has been acquired" (Discour physically.
173
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ADAM PRZEWORSKI
(ii) As Safford (1972) points out with members engaged in all these activities.
(12) This issue is important and controver
regard to Colombia during the first half of the
nineteenth century, the same individual wassial in Chilean historiography. The classical
often landowner, merchant, and lawyer at thestudy is Edwards (1928); a recent one is
same time, and if he was not, he had familyContreras (2002).
1/4
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INSTITUTIONS AND DEVELOPMENT
175
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ADAM PRZEWORSKI
(13) The issue of openness to trade does (2002) as well as Rodrik, Subramanian, and
appear in most recent institutionalist writings Trebbi (2002) find that trade does not matter
but the findings appear inconclusive. Hall and once geography and institutions are consid
Jones (1999) find that the longer a country was ered.
open to trade the faster it grew, but Easterly
176
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INSTITUTIONS AND DEVELOPMENT
(14) Wright, Levine and Sobell (1992, while political institutions and practices only
select policy outcomes within these limits",
p. 130) do not invoke Poulantzas. Indeed, their
own notion of "structural limitation", ac does not include the dynamic aspect of "dou
cording to which "class structure determinesble articulation".
the limits of possible variation in state policies,
177
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ADAM PRZEWORSKI
(15) Attempts to cope with this difficultyconcept reappears in Greif (2002, pp. 1-20)
within Marxism consisted of introducing a under the name of "self-reinforcing institu
concept of "expanded reproduction" but no tions": institutions that evolve gradually in
such processes were ever specified. The sameresponse to the outcomes they generate.
178
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INSTITUTIONS AND DEVELOPMENT
(i6) For an explanation of why this would be true, see Przeworski (2004b) and the references
therein.
179
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ADAM PRZEWORSKI
Institutions
gies that expl
institutions ar
background co
To see what
institutions,
were conquer
conquest adv
landlords; dur
as a communi
Since the trib
than on the ch
exogenous wi
characteristi
adopted by B
districts that
different tax
as an instrum
strategy mig
tenure system
systematic w
to assume that "there is no reason to think that the choice of land tenure
system at the district level was closely tied to the characteristics of the
district... It is therefore probably reasonable to assume that when two
districts lying directly across from each other on either side of the
boundary between two settlement regions ended up with different types
of tenure systems, it was for reasons mostly unrelated to their innate
differences". Since institutions were exogenous with regard to back
ground conditions and since (until independence) they remained the
same regardless of the consequences they generated, the observed dif
ferences in development can be attributed to institutions.
Given that in India history generously produced a natural experi
ment, we can entertain propositions of the form "if institutions were
different under the same conditions, so would be the pace of develop
180
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INSTITUTIONS AND DEVELOPMENT
(17) Note that under the regularity con framework, see Rubin (1974), Rosenberg
ception of causality no reference to counter (2001), and Heckman (2004).
factuals is necessary. It is sufficient that some (19) There are several terminologies to dis
outcome Y regularly follows some event X tinguish conditional propositions. One dis
given background conditions U. For Hume, tinction is between those in the indicative and
X is the cause of Y if i) X and Y are subjunctive mood. Another is between propo
contiguous in space and time, 2) Y follows sitions
X, that are "open", meaning that they do
and 3) Y and X always occur (or do not) not specify whether or not the conditional state
together. This conception runs into all kinds ofwill occur, and those that pose an antecedent
problems. Correlation, even with temporal that cannot be realized. On these distinctions,
asymmetry, is not sufficient to ascertain cau see Edgington (2001, p. 385), who concludes
sality. that "it is controversial how to best classify
(18) On causality in a probabilistic conditionals".
181
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ADAM PRZEWORSKI
(20) As Elster ( 1985, p. 300) observes "Marx its genre, while individuals are strategic when
does not specify any mechanism whereby opti they decide whether to become entrepreneurs
mal relations of production come to be reali and when they vote on policies, institutions
zed. In particular, he does not suggest any link either do not change or their change is the
between this process and the class struggle". result of a throw of dice.
(21) In the Acemoglou (2003b) model,
which I use repeatedly because I find it best in
182
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INSTITUTIONS AND DEVELOPMENT
Entry/ i 2 3 4 S 6 7 All
Exit
I 10
IO 5 14 3 5 6 15 58
2 i 3 2 1i 0 1i 0 8
3 6 5 11 3 8 11 7 51
4 i 0
o 0
O 1i 1i 0 0 3
5 0
o 2 6 0 6 1i 3 18
6 0
o O
0 0
o 0 0 0 2 2
7 3 3 5 1i 4 1i 29
29 46
All 21 18 38 9 24 20 56 186
183
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ADAM PRZEWORSKI
(22) A heuristic exposition of what is invol cations to development theory include Benha
ved can be found in Krugman (1991). Appli bib and Gali (1995) and Ray (2000).
184
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INSTITUTIONS AND DEVELOPMENT
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