Economic Integration and Political Accountability
Cahiers du LASER (LASER Working Papers) from LASER (Laboratoire de Science Economique de Richter), Faculty of Economics, University of Montpellier 1
This paper studies to what extent economic integration, or globalization, influences the accountability of politicians. Assuming that politicians are controlled by the voters through reelection rules, we analyze to what extent economic integration affects the form of those rules and the efforts made by politicians. We define economic integration by the existence of policies and shocks interdependences between countries. Then, from a political point of view, this integration is shown to be a two-sided phenomenon. Shock-interdependence allows yardstick comparison, increases political accountability and therefore efforts while policy-interdependence induces a lack of responsibility and harms the extent to which politicians can be controlled.
Keywords: POLITICAL ECONOMY; ASYMMETRIC INFORMATION; ECONOMIC INTEGRATION; YARDSTICK COMPETITION (search for similar items in EconPapers)
JEL-codes: D72 D82 D84 P45 (search for similar items in EconPapers)
Pages: 31 pages
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Journal Article: Economic integration and political accountability (2004)
Working Paper: Economic Integration and Political Accountability (2000)
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Persistent link: https://EconPapers.repec.org/RePEc:mop:lasrwp:2003.09
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