Legal reforms matter for economic growth and democratic consolidation. As part of the “second-generation reformsâ€, international financial institutions have sought to build the rule of law by funding a vast array of legal and judicial reform projects throughout the developing world....

This article reviews recent advances in economic theories of dictatorships and their lessons for the political stability and economic performance of dictatorships. It reflects on the general usefulness of economic theories of dictatorship, with an application to foreign relations.