International Finance and Democracy

There is much debate in political science literature about whether the rise of global financial markets is socially beneficial or harmful. Unnoticed in this debate is the impact which international financial transactions may have on democratic institutions. For example, do international financial flows prevent citizens from altering the content and especially the effects of fiscal and monetary policies through elections? This research investigation addresses this question by assessing how the workings of the global financial system affects and is affected by specific features of electoral institutions. The investigator will attend to this question through the construction and analysis of theoretically grounded, mathematical and statistical models of financially open democratic systems. This project should enhance our understanding of the emerging global financial system by employing a more systematic and sound approach to the topic than has previously existed.