Bachelorarbeit, 2014
92 Seiten, Note: 1,7
2. Introduction
2.1 Introduction to the topic
2.2 Definition of key-terms
2.2.1 Democracy
2.2.2 Development
2.2.3 The Exit-Voice-Loyalty Framework
3. Empirical Analysis
4. Discussion
4.1 Development Theories
4.1.1 Modernization Theory
4.1.2 Structural View
4.2 Exit and Voice
4.2.1 Exit
4.2.2 Voice
5. Ramifications of Migration on Development
6. Conclusion
This thesis examines the relationship between development, democratization, and migration. It specifically evaluates whether Albert O. Hirschman’s “Exit, Voice, and Loyalty” framework provides a coherent explanation for the mechanisms of political and economic transition in developing nations.
2.1 Introduction to the topic
The following thesis will examine the process of Development and Democratization. More precisely, it will prove whether Albert O. Hirschman’s “Exit, Voice, and Loyalty” (EVL)-framework allows for a more coherent explanation of the transitional mechanisms. In 1992 Paul Krugman raised the motion to rethink and resurrect the “high development theory” of the years prior to 1960. His “counter-counterrevolution” opposed the dominant neoclassical approach towards development and urged the scholarship to leave the intellectual parochialism and to take up the thread, laid out by scientists like Rosenstein-Rodan or Hirschman.
Down to the present day, the scientific community of the development-science hasn’t been able to produce a “universally accepted doctrine or paradigm. Instead (there is) a continually, evolving pattern of insights and understandings that together provide the basis for learning the possibilities of contemporary development […].”
The four predominant theories in the history, namely Modernization Theory, Structural-Change, Dependency School and the Neoclassical Market-Fundamentalism will be introduced and shown how the role of migration is integrated respectively. Hereinafter the EVL-concept will be explained and whether it can give further insights into the nexus of development and democracy.
The set-up hypothesis, which will be tested, is the following: The initial point is an authoritarian regime. Once a country achieved a certain threshold of development, the people do not only have the inherently volition of freedom but also the ability to articulate their demands. If we assume that the former mentioned concept of “Exit, Voice, and Loyalty” can be applied, the people have three options to do so. They can go literally or metaphorically on the streets and raise their voice against the incumbent regime or they can migrate from their home-country to another state, where a modern political system is already in place. The last alternative is that they do neither and continue with their ordinary life, staying loyal to the current government. To encapsulate, we should be able to spot a higher degree of democracy in a particular country if the rate of emigration is lower, than in a country where the people just leave their patria.
2. Introduction: This chapter introduces the core objective of applying the EVL framework to development and democratization, and presents the central hypothesis regarding how exit and voice influence regime stability.
3. Empirical Analysis: This section details the statistical methods, including the Generalized Method of Moments and Granger-causality tests, used to determine the relationships between democracy, migration, and development.
4. Discussion: This chapter provides an in-depth theoretical analysis of development theories, the EVL mechanism on the state level, and the impacts of exit and voice on political transitions.
5. Ramifications of Migration on Development: This section investigates how migration affects the economic and political institutions of sending countries, focusing on human capital loss and the role of diaspora networks.
6. Conclusion: The conclusion synthesizes the findings, noting that while EVL is a valuable tool, the complexity of social systems makes precise forecasting difficult, and advocates for a multi-factor approach in development science.
Exit-Voice-Loyalty, Democratization, Economic Development, Modernization Theory, Migration, Brain Drain, Institutional Change, Political Transition, Human Capital, Diaspora, Authoritarianism, Collective Action, Civil Society, Remittances, Governance
The research explores the nexus between economic development and democratization, specifically analyzing how migration influences the ability of a country to transition toward a more democratic political system.
The work is built upon Albert O. Hirschman’s “Exit, Voice, and Loyalty” framework, applying it from the economic market of goods to the political state level.
The hypothesis posits that in authoritarian regimes, a lower emigration rate allows citizens to stay and "raise their voice" for reform, which is more conducive to a successful democratic transition than simply leaving the country.
The author employs a combination of empirical statistical methods—such as the Generalized Method of Moments (GMM) and Granger-causality tests—and a deep theoretical review of established development models.
It covers historical and modern development theories, the nuances of the EVL framework, the empirical relationship between migration and democratic indices, and the long-term impact of migration on institutional quality.
The most important keywords include Exit-Voice-Loyalty, Democratization, Economic Development, Modernization Theory, Migration, and Brain Drain.
The author explains that migration can act as a "political decompressor" by allowing disgruntled citizens to leave, thereby reducing the pressure for domestic political change and helping authoritarian regimes maintain power.
Yes, the author notes that while exit can drain a country of reform-minded activists, it can also serve as a signal to elites that their performance is failing, potentially forcing them to adopt liberalizing policies to keep citizens from leaving.
Diaspora networks often possess high financial and social capital, which can be leveraged to lobby for constitutional change or to support reform movements in the home country through remittances and political pressure.
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