Do Businessmen Make Good Governors?

Florian Neumeier ()

No 230, ifo Working Paper Series from ifo Institute - Leibniz Institute for Economic Research at the University of Munich

Abstract: This paper empirically evaluates the economic performance of U.S. state governors who came to the position from a business background (CEO governors), focusing on income growth, unemployment, private investment, and income inequality. Methodologically, I apply a matching method to account for the endogeneity of political selection. I find that the tenures of CEO governors are associated with a 0.6 percentage points higher annual income growth rate, a 0.4 pp higher growth rate of the private capital stock, and a 0.6 percentage points lower unemployment rate than are the tenures of non-CEO governors. Income inequality decreases when CEO governors hold office.

JEL-codes: C21 D31 E24 J60 (search for similar items in EconPapers)
Date: 2016
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Citations: View citations in EconPapers (1)

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Related works:
Journal Article: DO BUSINESSMEN MAKE GOOD GOVERNORS? (2018)
Working Paper: Do businessmen make good governors? (2018)
Working Paper: Do Businessmen Make Good Governors? (2015)
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Persistent link: https://EconPapers.repec.org/RePEc:ces:ifowps:_230

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