Journal Articles

Policy Uncertainty in Hybrid Regimes: Evidence From Firm-Level Surveys

---

Cross-national surveys suggest that regulatory and policy uncertainty is an important constraint on investment in developing countries. Yet there has been little direct empirical investigation of the sources of this uncertainty. This article presents evidence of an inverted U-shaped relationship between firms’ perceptions of policy uncertainty and political regime type. Firms in hybrid regimes report higher levels of concern over policy uncertainty than those in either more authoritarian regimes or liberal established democracies. The authors argue that the explanation lies with a combination of polarized political competition and limited access to credible information and test their theory using survey data of around 10,000 firms from the World Bank—European Bank for Reconstruction and Development’s Business Environment and Enterprise Performance Survey from 27 postcommunist countries and five Organisation for Economic Co-operation and Development countries. Methodologically, the authors propose a means of controlling for reporting and suppression biases in these surveys when an anchoring vignette is not available.

---

Availability

No copy data

Detail Information

Series Title

Comparative Political Studies

Call Number

-

Publisher

: sage publisher., 2010

Collation

-

Language

English

ISBN/ISSN

00104140

Classification

-

Content Type

-

Media Type

-

Carrier Type

-

Edition

Vol. 43, No. 4, April 2010. pp. 486-510

Subject(s)

Democracy
Economic development
Policy uncertainty
Political risk
Transition economies
Policy Uncertainty in Hybrid Regimes

Specific Detail Info

-

Statement of Responsibility

-

Other version/related

File Attachment

Comments

---

You must be logged in to post a comment