THE POLITICAL-ECONOMY OF DEMOCRATIC TRANSITIONS

Dankwart A. Rustow's emphasis on elite bargaining represented an impor tant advance over static, ''structural'' explanations and anticipated strategic choice models of regime change. However, these models often ignore underlying economic and social conditions that affect the resou rces of the contending actors and the stakes of the negotiations. Our theory of democratic transitions focuses on the way economic performan ce affects constitutional rules, political alignments, and institution s. It can be extended to explain the policy challenges facing new demo cratic governments and the prospects for consolidation.