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01 Citizen empowerment
through land reform Pablo Jimenez-Ayora, Devashish Mitra, Lan
Anh Tong, Mehmet A. Ulubaşoğlu Abstract: This paper
empirically investigates the interplay betweende jure political
institutions and de facto elite-versus-citizen political power
in determining the likelihood of the adoption of pro-citizen or aggregate
welfare-enhancing economic institutions. Our key innovation is to measure the
elite vs. citizens’ de facto power by the stock of land
reforms that have taken place up to a given year in a country during the period
1900 to 2010. Our empirical analysis documents that, controlling for permanent
country differences, common time shocks and country-specific time trends, and
addressing the biases owing to initial differences in land distribution and
time-varying omitted variables, democratization correlates
with a relatively more likely movement towards aggregate welfare-maximizing
policies in countries where adequate citizen power has been b
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