Egypt: Reason for Optimism

2011 February 13 by Frank Monaldo.

Given the recent chaos in the Egypt, the short term outcome has been about as positive as one could hope to expect. Authoritarian strong man Hosni Mubarak was forced to leave office with little violence. The military has taken control providing stability and vowing to honor peace agreements with Israel, accompanied with the realistic hope of early elections. However, the final outcome of revolutions is difficult to predict with certainty. The American and French Revolutions occurred in the same era and employed much the same language. The American Revolution brought us George Washington, while the French Revolution resulted in Napoleon Bonaparte.

Fortunately, we have experience over the last hundred years or so that points to optimism in the case of Egypt. This case for optimism must overcome some serious concerns. Although the peaceful revolution came from the streets, that the radical Muslim Brotherhood did not seem to lead, they are perhaps the most organized and passionate party. One could easily imagine that they use the current instability to move Egypt to a theocracy rather than a liberal democracy. Moreover, if Zogby is to be believed, Egyptians cling to some disturbing ideas. About 90% believe that Israel is a threat to them, and a strong majority believe åçthat clerics should play a larger role in government. However, consider the reason for optimism.

The number of democratic countries has exploded. Polity IV, of the Center for Systemic Peace and Colorado State University, scores countries on a scale of -10 to 10, where -10 is an hereditary monarchy and +10 is a stable democracy. The plot below shows the number of countries scoring higher than eight from 1800 to 2003. Clearly, while not always successful and with setbacks, the move to governments underpinned by the consent of the governed is Zeitgeist of the last century or so.

Studies of this growth in democracies suggest that economic development and the presence of a middle class are the determining factors on longevity. A 1997 study by Adam Przeworski and Fernando Limongi of the world from 1950 to 1990 concluded that if the per capita income of a fledgling democracy was less than $1500, the democracy had a life expectancy of less than 10 years. Above $6000 in per capita income, a democracy essentially lives indefinitely. Indeed, they found that the “relation between levels of development and the incidence of democratic regimes’’ could explain 77% of the observations. Some of the deviations from the relation have to do if the wealth is associated with a middle class. In cases where a country’s wealth comes primarily from natural resource extraction as opposed to more diversified commerce, per capita income did not necessary translate into a middle class.

Egypt currently has a per capita income of $6200. Even with inflation, this gives Egypt a reasonable chance of achieving a long-term democracy. Despite wide-spread poverty, if the middle class is large enough the tendency to authoritarian rule can be mitigated. The depressing part of this sort of analysis is not related to Egypt. Iraq and Afghanistan have a per capita incomes of $3600 and $1000, respectively. The prospect of long-live democratically-based regimes in these countries would appear to be dependent upon rapid economic growth.

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