Political Polarization and the Size of Government
Erik Lindqvist () and
Robert Östling ()
No 749, Working Paper Series from Research Institute of Industrial Economics
We study the effect of political polarization on government spending and redistribution using the dispersion of self-reported political preferences as our measure of polarization. Politically polarized countries have lower levels of redistribution and government consumption. The relationship between political polarization and the size of government is stronger in democratic countries, indicating that the effect goes through the political system. The results are robust to a large set of controlvariables, including GDP per capita and income inequality.
Keywords: Political Polarization; Social Cohesion; Ethnic Fractionalization; Social Capital; Size of Government (search for similar items in EconPapers)
JEL-codes: H11 H20 H41 (search for similar items in EconPapers)
Pages: 32 pages
New Economics Papers: this item is included in nep-cdm, nep-dev, nep-pbe, nep-pol and nep-soc
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Published as Lindqvist, Erik and Robert Östling, 'Political Polarization and the Size of Government' in American Political Science Review, 2010, pages 543-565.
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Journal Article: Political Polarization and the Size of Government (2010)
Working Paper: Political Polarization and the Size of Government (2009)
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Persistent link: https://EconPapers.repec.org/RePEc:hhs:iuiwop:0749
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