Vertical externalities and control of politicians
Matthias Wrede ()
Economics of Governance, 2002, vol. 3, issue 2, 135-151
A major role of (repeated) elections is to create incentives for politicians to act in the interests of voters. This paper considers the disciplining role of elections in countries with either one or two levels of government. Simple retrospective voting strategies which are based on cut-off levels with respect to expenditure and tax rates are considered. It is shown that the power of voters is weakened if a second independent level of government is added. However, voters can partially reinforce their power by making politicians not only liable for their own policy, but also for the policy carried out at each other level of government. Copyright Springer-Verlag Berlin Heidelberg 2002
Keywords: Key words: voting theory; separation of powers; vertical fiscal externalities; JEL classification: D7; H0; H7 (search for similar items in EconPapers)
References: Add references at CitEc
Citations: View citations in EconPapers (3) Track citations by RSS feed
Downloads: (external link)
Access to full text is restricted to subscribers.
This item may be available elsewhere in EconPapers: Search for items with the same title.
Export reference: BibTeX
RIS (EndNote, ProCite, RefMan)
Persistent link: https://EconPapers.repec.org/RePEc:spr:ecogov:v:3:y:2002:i:2:p:135-151
Ordering information: This journal article can be ordered from
http://www.springer. ... cs/journal/10101/PS2
Access Statistics for this article
Economics of Governance is currently edited by Amihai Glazer and Marko Koethenbuerger
More articles in Economics of Governance from Springer
Bibliographic data for series maintained by Sonal Shukla ().