Why does economic development produce political change? Over time, when an economy diversifies, it becomes more complex to manage. More importantly, groups with different interests are formed, from various entrepreneurs in a variety of economic sectors, to professionals, students and remaining farmers. Tightly controlled political systems often rule through simplification. They are ill equipped to control and manage increasingly diverse interests. They are more prone to selecting winners, often business groups close to the regime either through patronage pr occasionally with the intention of producing economic growth. Strains tend to appear, particularly in regimes where the economy is also tightly controlled.
Business groups and the middle class play an important role in political reform. Unless they are state-run, Businesses require stable political environments, predictable rules, protection of their property and expanding markets to thrive. Authoritarian systems can sometimes provide stable environments but can be quite unpredictable. Democracies generally tend to provide better legal protections and more open environments that are favorable to diverse business interests. Business groups that rise outside of authoritarian states’ direct protection often participate in reform movements. The middle class, in turn, is more often a driver of political change. Education, comfortable living standards and diverse interests from a preference for more open politics, choice of policies and platforms and more participation in politics. Democracies provide such a political environment