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Chapter 6 Why Authoritarian Parties? The Regime Party as an ...

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CHAPTER 6<br />

<strong>The</strong>se tr<strong>an</strong>sfers frequently take the form of c<strong>as</strong>h, subsidies, price regulation, l<strong>an</strong>d reform, or<br />

programmatic redistribution. 11 All such policies are in effect tr<strong>an</strong>sfers of income from the<br />

government to a targeted segment of the population. For inst<strong>an</strong>ce, in attempts to appe<strong>as</strong>e<br />

the m<strong>as</strong>ses during to the wave of protests that swept through the Middle E<strong>as</strong>t <strong>an</strong>d North<br />

Africa at the beginning of 2011, Bahrain’s King Hamad ibn Isa al-Khalifa gave to each<br />

Bahraini family the equivalent of $2,650, the Syri<strong>an</strong> government of B<strong>as</strong>har al-Asad froze<br />

electricity prices <strong>an</strong>d <strong>an</strong>nounced a 72% rise in heating-oil benefits for public workers, <strong>an</strong>d<br />

the Saudi government <strong>an</strong>nounced <strong>an</strong> incre<strong>as</strong>e in subsidies for new marriages, home owners,<br />

<strong>an</strong>d businesses. 12<br />

In order to explicitly contr<strong>as</strong>t cooptation with <strong>an</strong>d without a regime party, suppose that<br />

the dictator distributes via tr<strong>an</strong>sfers <strong>an</strong> amount equivalent to his total net expenditures on<br />

partis<strong>an</strong> cooptation, b−c. That is, in <strong>an</strong>y period, the dictator compensates each citizen’s<br />

support for the regime by a tr<strong>an</strong>sfer in the amount of (b−c)/2.<br />

How much does a challenger have to offer to each citizen in order to attract both citizens’<br />

support? Suppose that the challenger does not have a party <strong>an</strong>d simply offers a period-by-<br />

period tr<strong>an</strong>sfer to each of the two citizens. In the c<strong>as</strong>e of cooptation via tr<strong>an</strong>sfers, the two<br />

citizens will be willing to join him if he offers each <strong>an</strong> equivalent tr<strong>an</strong>sfer, that is at le<strong>as</strong>t<br />

(b − c)/2. Hence a challenger must have a budget of at le<strong>as</strong>t b − c in order to replace <strong>an</strong><br />

incumbent who coopts via tr<strong>an</strong>sfers.<br />

On the other h<strong>an</strong>d, a challenger who would like to attract defectors from a dictator who<br />

coopts via a party h<strong>as</strong> to consider not only their current costs <strong>an</strong>d benefits but also the effect<br />

11 Magaloni (2008) refers to these <strong>as</strong> “tr<strong>an</strong>sfers on the spot”.<br />

12 “Bahrain’s king gives out c<strong>as</strong>h ahead of protests,” Reuters, 12 February 2011; “Hard choices for the<br />

government,” <strong>The</strong> Economist, 20 J<strong>an</strong>uary, 2011; “Bahrain King in Saudi Arabia to discuss unrest,” <strong>The</strong> New<br />

York Times, 23 February 2011.<br />

14

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