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Is money where the fun ends? Material interests and individuals’ preference for direct democracy

Philipp Harms and Claudia Landwehr

European Journal of Political Economy, 2020, vol. 61, issue C

Abstract: Are people’s attitudes towards referendums as a decision-making procedure predominantly driven by their material self-interest, or do individuals also value direct democracy as such, regardless of the material payoffs associated with anticipated policy outcomes? To answer this question, we use a survey data set that offers information on respondents’ support for referendums as a procedure to decide on tax policy, their income levels, socio-economic characteristics, and, most importantly, their expectation about the majority’s support for higher taxes. We find that the support of low-income individuals for referendums increases substantially if they expect a clear population majority in favor of more redistribution. Conversely, individuals with a high income who expect a majority in favor of higher taxes do not reject referendums more strongly than individuals with an average income who share these expectations.

Keywords: Constitutional choice; Direct democracy; Redistribution (search for similar items in EconPapers)
JEL-codes: D72 D78 H20 (search for similar items in EconPapers)
Date: 2020
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Citations: View citations in EconPapers (4)

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Persistent link: https://EconPapers.repec.org/RePEc:eee:poleco:v:61:y:2020:i:c:s0176268018305524

DOI: 10.1016/j.ejpoleco.2019.101818

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European Journal of Political Economy is currently edited by J. De Haan, A. L. Hillman and H. W. Ursprung

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