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GMS 724 Study Guide - Final Guide: Economist Intelligence Unit, Democracy Index, Totalitarianism

Global Management Studies
Course Code
GMS 724
Study Guide

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Chapter 2 - Trends in Political Ideologies - Part 2
Democracy: Recession and Retreat
Democracy retains appeal worldwide, surveys show that people in most
countries want it
o Increasing wealth and education, along with an expanding middle
class, energize its allure
o Troubling data, however, question its momentum
o Managers increasingly qualify their interpretation of political
environments with the possibility that "history," rather than ending, is
just beginning
A few years ago, longitudinal data on the slowing momentum of democracy
indicated a "democracy recession"
o Now, data indicate democracy is in retreat worldwide
o In 1987, there were 66 electoral democracies in the world; in 1997,
there were 117; 2006 saw 123; by 2010, it was 115
o Gains in freedom have given way to declines in freedom
o Sham elections, police crackdowns, kangaroo courts, and persecution
of dissidents have gained traction
o All speak to the stance, as President Lukashenka of Belarus declared
on the heels of a rigged election victory, that "there will be no more
mindless democracy in this country"
o Worldwide, increasingly powerful totalitarian regimes impose "forceful
measures designed to suppress democratic reformers, international
assistance to those reformers, and ultimately the very idea of
democracy itself"
o As a result, 2010 marked the fifth consecutive year in which global
freedom declined---the longest consecutive period of setbacks in
nearly 40 years
The Economist Intelligence Unit (EIU) corroborates democracy's retreat
o The EIU assesses the "texture of democracy" relying on 60 indicators
of a country's electoral pro, hybrid cess and pluralism, civil liberties,
government functioning, political participation, and political culture
o Countries are rated as either a full democracy, flawed democracy,
hybrid regime or authoritarian regime
o Assessing 167 countries, the EIU found that many of the world's
democracies are "democracies" in name only; just 26 are "full
democracies," while 53 are "flawed democracies"
o Of the remaining, 33 are classified as "hybrid regimes" that mix
democratic and totalitarian practices
o Hong Kong, for examples, falls in the latter; its citizens command
democratic rights but its Chief Executive, effectively its President, is
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