Project Brief:

This research explores the influence of dominant economic ideas on political developments, policy choices, inequality, and growth outcomes throughout Pakistan’s history. It examines how transitions between dictatorship and democracy have been accompanied by competing visions of economic management, impacting wealth distribution, poverty levels, and long-term development. The study employs a formal theoretical model to explain how distributional pressures, voter preferences, and political incentives interact with economic ideologies to shape growth patterns. It combines secondary data analysis with a large-scale primary survey to validate the theoretical framework. This includes a public survey of 1,500 individuals across Pakistan to capture perceptions of economic policies, inequality, and redistribution. Additionally, a technical expert survey of 70 economists, politicians, policymakers, and academics will be conducted to gather informed assessments on the role of economic ideas across different political regimes. Pakistan’s political history reveals a struggle between competing economic ideas—ranging from state-led redistribution to market-oriented growth strategies—each influencing political transitions and policy choices. Understanding how economic thinking has shaped these shifts is critical for designing future policies that promote both growth and equity. Furthermore, voters’ perceptions and expert views on economic policies have not been systematically studied in the context of Pakistan, highlighting a significant gap between economic theory, political practice, and long-term development outcomes.

The following policy questions will be addressed: – How have economic ideas historically influenced Pakistan’s political and economic development? – What lessons can be drawn for designing inclusive and investment-friendly growth strategies today? – How can democratic systems better align voter preferences with sustainable economic policies?

Public Policy Relevance:

This study aims to assist policymakers, political leaders, and development partners in understanding the historical foundations of economic policymaking in Pakistan. By providing insights into these roots, the study offers a roadmap for implementing inclusive growth strategies that are both politically viable and economically sustainable. Additionally, the research presents recommendations for electoral reform policies designed to align voter incentives with sustainable growth objectives. It highlights the importance of managing expectations, enhancing economic literacy, and promoting equitable redistribution.

Team Details:

Principal Investigator
Dr Muhammad Tariq Mahmood
Assistant Professor
FUUAST, Islamabad

Co-PI
Dr Sadaf Shahab
Assistant Professor
FUUAST, Islamabad

Research Associate
Dr. Muhammad Raza
Lecturer (Visiting)