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Ideology and the size of US state government

Andrew Pickering and James Rockey

Public Choice, 2013, vol. 156, issue 3, 443-465

Abstract: This paper theorizes that the impact of ideology on the size of US state governments increases with state income. This idea is tested using state-level ideology data derived from the voting behavior of state congressional representatives. Empirically the interaction of ideology and mean income is a key determinant of state government size. At 1960s levels of income the impact of ideology is negligible. At 1997 levels of income a one standard-deviation move towards the left of the ideology spectrum increases state government size by about half a standard deviation. Estimated income elasticities differentiated by state and time are found to be increasing with ideology and diminishing with income, as predicted by the theory. Copyright Springer Science+Business Media New York 2013

Keywords: Ideology; Wagner’s law; Size of government; D72; H10 (search for similar items in EconPapers)
Date: 2013
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Citations: View citations in EconPapers (33)

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DOI: 10.1007/s11127-012-0026-x

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