Institutions that require the use of coercion to enforce create political headaches. In these settings, enforcement involves fines, jail sentences, and asset seizures that are unpopular with those affected. This chapter highlights how coercive sanctions can generate social and electoral reactions against institutions, even when there is broad support for the underlying institutional aims. Intentional decisions not to enforce the law, or what I call forbearance (Holland 2016, 2017), is an important source of the institutional weakness studied in this volume.

Applying coercive sanctions is a challenge in any democracy. But in highly unequal societies, such as those in Latin America, enforcement challenges are compounded by both the power and poverty of those affected by institutional rules. On the one hand, the wealthy often stand above the law, using their money and connections to bend formal rules in their favor and forgo sanctions.