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CHAPTERI
Onecanexpect,apriori,thatthegrowthofpisdependentonlandk.
Ifinterestgroupsbecomestronger,thepressuretoformincomesbasedon
protectionismmaybecomestronger.TheinfluenceofR,thatis,theinfluence
ofapoliticalauthoritarianismonthelevelofprotectionism,thatis,p,depends
onthefactwhethertheopinion,thatthelevelofprotectionismdependsonthe
effectsofdemocratization,iscorrect.Itisalsothoughtthattheincreaseofthe
deformationofwagesdependsonpandl,whileitsdecreasedependsonk.
Aslongastheincomesareobtainedfromtradeprotections,thoseincomes
canbehandedovertourbanizedemployees.Animportantproblemincaseof
urbanizedlabourforceasaninterestgroupwithgrowingstrengthisthefact
thaturbanizedemployeesmaygainabigshareinthedivisionofincomesbut
thegrowthofpoliticalimportanceofthecapitalistsmaycausethattheshared
incomes,handedovertothelabourforceinregulatedsectorsofeconomywill
becomesmaller(BanerjiandGhanem,1997).
Thereisnodoubtthatitiseasierforwealthyratherthanpoorsocietiesto
choosedemocracy(Helliwel,1992).Sincethosewealthiersocietiesatthesame
timehaveatendencytoabiggeropenness,thedirectionofcause-resultevents
mayrunfromtheopennessofsocietytothepoliticalsystem,andnot,aswas
suggestedearlier,intheoppositedirection.Theresearchshowedalsothatthe
levelofeducationplaysanimportantroleinthisrespect.Thecountrieswith
ahigherlevelofeducationoflabourforcearemoreopen.
Onthebasisoftheearlierconsiderations,onecancometotheconclusion
thatauthoritariansystemshaveatendencytowardsabroaderapplicationof
protectionismthandemocraticsystems,andthat,inturn,thetraderestrictions
accompanysignificantdeformationsofwagesonthelabourmarket.Thisopinion
maybejustifiedonthebasisoftheobservationsofthesituationinanumber
ofcountries.
Freedomofassociationisoneoftheelementsofgoodmanagementand
thenecessaryconditionfordevelopment.Theauthoritariangovernmentsdo
notrespect,however,thefreedomofassociation,whichisconnectedwiththe
policyoftraderestrictionsandwiththedeformationsonthelabourmarkets.
Onecannotstate,however,thatimproperorineffectivepolicyonthelabour
marketbelongedexclusivelytoauthoritarianregimesorthatauthoritarianism
automaticallygeneratesthiskindofpolicy.Thereisanumberofexamplesof
authoritariancountrieswhichdonotconductpoliciesofthatkind.Theworksof
suchauthorsasFieldsorFreemanshowthattherepressionsagainstthelabour
forcearenotnecessary,ifonewantstoachievearequiredeconomicgrowth
(Fields,1994;seealsoFreeman,1993).
Finally,itshouldbepointedoutthatthereexistsacloserelationbetween
democracyandaneconomicgrowth.Therearewellknownexamplesofopen
societiesthatstimulatetheeconomicgrowth.Thisistruemainlyincaseofhighly
