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21 Governance: An Int'l J. Pol'y, Admin, & Institutions 1 (2008)

handle is hein.journals/gvnanlj21 and id is 1 raw text is: Democracy and State Capacity: Exploring a J-Shaped Relationship HANNA BACK* and AXEL HADENIUS** In this article we probe the effect of democratization on the state's admin- istrative capacity. Using time-series cross-section data, we find a curvilin- ear (J-shaped) relationship between the two traits. The effect of democracy on state capacity is negative at low values of democracy, nonexistent at median values, and strongly positive at high democracy levels. This is confirmed under demanding statistical tests. The curvilinear relationship is due, we argue, to the combined effect of two forms of steering and control; one exercised from above, the other from below. In strongly authoritarian states, a satisfactory measure of control from above can at times be accom- plished. Control from below is best achieved when democratic institutions are fully installed and are accompanied by a broad array of societal resources. Looking at two resource measures, press circulation and electoral participation, we find that these, combined with democracy, enhance state administrative capacity. Introduction It is well known, from extensive experience, that we need a state in order to coordinate our activities and promote our welfare. Only the state, with its regulatory capacity, can furnish a number of services in general demand. In order to guarantee order, social peace, justice, and efficiency, society needs a functioning state. We need a state that works well-which does what it does in the right way, administratively speaking. But we also want a state that does the right things. By the latter we normally mean that the state conducts activities in accordance with the wishes of the citizenry. And the best way to ascertain the wishes of the citizenry is to apply the methods of political democracy. The ideal state, then, both functions well in an administrative sense and is democratic. Unfortunately, as we shall see, this combination has proved difficult to create. The global tendency over recent decades has been toward a growing gap between the two ambitions. The world has become more democratic, but the administrative capacity of states appears to have diminished. *University of Mannheim **Lund University Governance: An International Journal of Policy, Administration, and Institutions, Vol. 21, No. 1, January 2008 (pp. 1-24). © 2008 The Authors Journal compilation © 2008 Blackwell Publishing, 350 Main St., Malden, MA 02148, USA, and 9600 Garsington Road, Oxford, OX4 2DQ, UK. ISSN 0952-1895