Political Governance, Law, and Economic Development

Political stability is an important precondition for economic development. While political stability cannot be created by laws alone, an effective legal framework for political governance, such as a constitution, can facilitate political stability. Political stability is not synonymous with democracy; while civil liberty is often considered a key ingredient for prosperity, it has been historically observed that promotion of democracy, while an important value, does not necessarily lead to economic development. Successful economic developments in the East Asian countries, such as South Korea, Singapore, and Taiwan from the 60s to the 80s and in contemporary China show the importance of political stability in achieving economic progress albeit with certain democratic deficits. The system of political governance that creates political stability may differ from one place to another, depending upon political needs, cultural priorities, historical contexts, and popular aspirations. This paper considers these elements and also examines, based on local conditions and priorities, the kind of political leadership that has brought political stability and economic development, the question of democracy, and the legal frameworks conducive to sustaining political stability.