Public Debt and the Birth of the Democratic State: France and Great Britain 1688-1789 - ISBN:0521071275

Public Debt and the Birth of the Democratic State: France and Great Britain 1688-1789

Date: 15 April 2011, 04:46

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Does establishing representative democracy increase commitment to repaying public debt? This book develops a new theory about the link between debt and democracy and applies it to a classic historical comparison: eighteenth century Great Britain (which had strong representative institutions and sound public finance) vs. ancien regime France (which had neither). The study asserts that whether representative institutions improve commitment depends on the opportunities for government creditors to form coalitions with other groups. It is relevant to developing country governments with implications for government policy where credibility is a concern.

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