Beyond Neopatrimonialism, State Capture and Crony Capitalism: State-Business Ties in Emerging Economies

Abstract

The concept of neopatrimonialism, after being quasi-exclusively associated with the discussion of African policies until a decade ago, has been undergoing a succession of semantic readjustments along with its confrontation with new regional templates and debates. Most notably, the conventional emphasis on interactions between personal rule and institutionalisation is increasingly being mitigated by debates on the developmental state. Today, the implementation of structural reforms on a sustainable basis and the preservation of a state capacity to craft and implement public policies appear closely related to the nature of interactions between state and business. Through organisational and institutional linkages, information exchange was eased to help state-business cooperation and forge consensus. Businesses are important because they contribute strongly for investments, social innovation, technological progress, jobs creation and production of goods and services. Neopatrimonialism, state 'capture' and crony capitalism can no longer be necessarily viewed as conducive to state failure and poor economic outcomes. What may be referred to as the emerging states’ syndrome points to an unanticipated capacity to combine rapid economic transformations with poverty reduction despite the persistence of high levels of corruption and, at times, authoritarian/totalitarian rule. The purpose of this panel is to identify and review this and other grids of analysis and their relevance to monitor changing interactions and interpretations of state- business ties in Africa, Latin America, Asia and the post-Soviet countries. A related issue to be addressed by the panel will be the implication that such a shift of emphasis carries for the study and conceptualisation of political regimes (described through such notions as hybrid or patronal presidentialism) and transitions.

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