IDEAS home Printed from https://ideas.repec.org/p/liv/livedp/202307.html
   My bibliography  Save this paper

With a little help from my friends. Political competition in the shadow of organized crime

Author

Listed:
  • Pasquale Accardo
  • Giuseppe De Feo
  • Giacomo De Luca

Abstract

Higher electoral competition may reinforce the position of politically active criminal organizations, which can endorse politicians in exchange for favors. This paper formalizes this intuition and test it on Italian electoral data, using the 1991 electoral reform as an exogenous source of variation in electoral competition in one of the two branches of the Parliament. Our triple-difference estimates suggest that after the reform mafia-prone areas reported higher vote shares awarded to the party traditionally supported by criminal organizations only for the branch affected by the reform, and a larger dispersion of votes across candidates of the same party.

Suggested Citation

  • Pasquale Accardo & Giuseppe De Feo & Giacomo De Luca, 2023. "With a little help from my friends. Political competition in the shadow of organized crime," Working Papers 202307, University of Liverpool, Department of Economics.
  • Handle: RePEc:liv:livedp:202307
    as

    Download full text from publisher

    File URL: https://www.liverpool.ac.uk/media/livacuk/schoolofmanagement/docs/With,a,little,help,from,my,friends.pdf
    File Function: First version, 2023
    Download Restriction: no
    ---><---

    Other versions of this item:

    References listed on IDEAS

    as
    1. Giuseppe De Feo & Giacomo Davide De Luca, 2017. "Mafia in the Ballot Box," American Economic Journal: Economic Policy, American Economic Association, vol. 9(3), pages 134-167, August.
    2. Besley, Tim & Persson, Torsten & Sturm, Daniel, 2005. "Political Competition and Economic Performance: Theory and Evidence from the United States," CEPR Discussion Papers 5138, C.E.P.R. Discussion Papers.
    3. Alberto Alesina & Salvatore Piccolo & Paolo Pinotti, 2019. "Organized Crime, Violence, and Politics," The Review of Economic Studies, Review of Economic Studies Ltd, vol. 86(2), pages 457-499.
    4. Sutirtha Bagchi, 2021. "The effects of political competition on the funding of public‐sector pension plans," Financial Management, Financial Management Association International, vol. 50(3), pages 691-725, September.
    5. Robin Burgess & Remi Jedwab & Edward Miguel & Ameet Morjaria & Gerard Padró i Miquel, 2015. "The Value of Democracy: Evidence from Road Building in Kenya," American Economic Review, American Economic Association, vol. 105(6), pages 1817-1851, June.
    6. Solé-Ollé, Albert & Viladecans-Marsal, Elisabet, 2012. "Lobbying, political competition, and local land supply: Recent evidence from Spain," Journal of Public Economics, Elsevier, vol. 96(1), pages 10-19.
    7. Daniele, Gianmarco & Dipoppa, Gemma, 2017. "Mafia, elections and violence against politicians," Journal of Public Economics, Elsevier, vol. 154(C), pages 10-33.
    8. Barone, Guglielmo & Narciso, Gaia, 2015. "Organized crime and business subsidies: Where does the money go?," Journal of Urban Economics, Elsevier, vol. 86(C), pages 98-110.
    9. Massimiliano Landi & Antonio Merlo & Vincenzo Galasso & Andrea Mattozzi, 2008. "The Labor Market of Italian Politicians," Labor Economics Working Papers 22461, East Asian Bureau of Economic Research.
    10. Besley, Timothy & Persson, Torsten & Sturm, Daniel, 2010. "Political competition, policy and growth: theory and evidence from the United States," LSE Research Online Documents on Economics 121718, London School of Economics and Political Science, LSE Library.
    11. Svaleryd, Helena & Vlachos, Jonas, 2009. "Political rents in a non-corrupt democracy," Journal of Public Economics, Elsevier, vol. 93(3-4), pages 355-372, April.
    12. Bagchi, Sutirtha, 2019. "The effects of political competition on the generosity of public-sector pension plans," Journal of Economic Behavior & Organization, Elsevier, vol. 164(C), pages 439-468.
    13. Daron Acemoglu & Giuseppe De Feo & Giacomo Davide De Luca, 2020. "Weak States: Causes and Consequences of the Sicilian Mafia," The Review of Economic Studies, Review of Economic Studies Ltd, vol. 87(2), pages 537-581.
    14. Bordignon, Massimo & Grembi, Veronica & Piazza, Santino, 2017. "Who do you blame in local finance? An analysis of municipal financing in Italy," European Journal of Political Economy, Elsevier, vol. 49(C), pages 146-163.
    15. Marta Curto-Grau & Albert Solé-Ollé & Pilar Sorribas-Navarro, 2018. "Does Electoral Competition Curb Party Favoritism?," American Economic Journal: Applied Economics, American Economic Association, vol. 10(4), pages 378-407, October.
    16. Rogoff, Kenneth, 1990. "Equilibrium Political Budget Cycles," American Economic Review, American Economic Association, vol. 80(1), pages 21-36, March.
    17. Gene M. Grossman & Elhanan Helpman, 1996. "Electoral Competition and Special Interest Politics," The Review of Economic Studies, Review of Economic Studies Ltd, vol. 63(2), pages 265-286.
    18. Acemoglu, Daron & Robinson, James A., 2006. "Economic Backwardness in Political Perspective," American Political Science Review, Cambridge University Press, vol. 100(1), pages 115-131, February.
    19. Timothy Besley & Torsten Persson & Daniel M. Sturm, 2010. "Political Competition, Policy and Growth: Theory and Evidence from the US," The Review of Economic Studies, Review of Economic Studies Ltd, vol. 77(4), pages 1329-1352.
    20. Joshua D. Angrist & Jörn-Steffen Pischke, 2015. "The path from cause to effect: mastering 'metrics," CentrePiece - The magazine for economic performance 442, Centre for Economic Performance, LSE.
    21. Valeria Virginia Checchi & Michele Polo, 2020. "Blowing in the Wind: The Infiltration of Sicilian Mafia in the Wind Power Business," Italian Economic Journal: A Continuation of Rivista Italiana degli Economisti and Giornale degli Economisti, Springer;Società Italiana degli Economisti (Italian Economic Association), vol. 6(2), pages 325-353, July.
    22. Melissa Dell, 2015. "Trafficking Networks and the Mexican Drug War," American Economic Review, American Economic Association, vol. 105(6), pages 1738-1779, June.
    23. Galasso, Vincenzo & Nannicini, Tommaso, 2011. "Competing on Good Politicians," American Political Science Review, Cambridge University Press, vol. 105(1), pages 79-99, February.
    24. Bracco, Emanuele & Porcelli, Francesco & Redoano, Michela, 2019. "Political competition, tax salience and accountability. Theory and evidence from Italy," European Journal of Political Economy, Elsevier, vol. 58(C), pages 138-163.
    25. Francesco Calderoni, 2011. "Where is the mafia in Italy? Measuring the presence of the mafia across Italian provinces," Global Crime, Taylor & Francis Journals, vol. 12(1), pages 41-69, February.
    26. Buonanno, Paolo & Prarolo, Giovanni & Vanin, Paolo, 2016. "Organized crime and electoral outcomes. Evidence from Sicily at the turn of the XXI century," European Journal of Political Economy, Elsevier, vol. 41(C), pages 61-74.
    27. Murphy, Tommy E. & Rossi, Martín A., 2020. "Following the poppy trail: Origins and consequences of Mexican drug cartels," Journal of Development Economics, Elsevier, vol. 143(C).
    28. Gagliarducci, Stefano & Nannicini, Tommaso & Naticchioni, Paolo, 2010. "Moonlighting politicians," Journal of Public Economics, Elsevier, vol. 94(9-10), pages 688-699, October.
    29. Anzia, Sarah F., 2012. "The Election Timing Effect: Evidence from a Policy Intervention in Texas," Quarterly Journal of Political Science, now publishers, vol. 7(3), pages 209-248, June.
    30. John William Hatfield & Gerard Padró i Miquel, 2012. "A Political Economy Theory Of Partial Decentralization," Journal of the European Economic Association, European Economic Association, vol. 10(3), pages 605-633, May.
    31. Hatfield, John William, 2015. "Federalism, taxation, and economic growth," Journal of Urban Economics, Elsevier, vol. 87(C), pages 114-125.
    32. Daron Acemoglu & James A. Robinson & Rafael J. Santos, 2013. "The Monopoly Of Violence: Evidence From Colombia," Journal of the European Economic Association, European Economic Association, vol. 11, pages 5-44, January.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Marco Frank & David Stadelmann, 2021. "Political competition and legislative shirking in roll-call votes: Evidence from Germany for 1953–2017," Public Choice, Springer, vol. 189(3), pages 555-575, December.
    2. Daron Acemoglu & Giuseppe De Feo & Giacomo Davide De Luca, 2020. "Weak States: Causes and Consequences of the Sicilian Mafia," The Review of Economic Studies, Review of Economic Studies Ltd, vol. 87(2), pages 537-581.
    3. Stefania Fontana & Giorgio d’Agostino, 2024. "Anti-mafia policies and public goods in Italy," Public Choice, Springer, vol. 198(3), pages 493-529, March.
    4. Lonsky, Jakub, 2020. "Gulags, Crime, and Elite Violence: Origins and Consequences of the Russian Mafia," GLO Discussion Paper Series 711, Global Labor Organization (GLO).
    5. Boeri, Filippo & Di Cataldo, Marco & Pietrostefani, Elisabetta, 2022. "Localised effects of re-allocated real estate mafia assets," LSE Research Online Documents on Economics 116682, London School of Economics and Political Science, LSE Library.
    6. Nicola Mastrorocco, 2018. "Organised Crime, Captured Politicians and the Allocation of Public Resources," Trinity Economics Papers tep1018, Trinity College Dublin, Department of Economics.
    7. Francesca M. Calamunci & Livio Ferrante & Rossana Scebba, 2022. "Closed for mafia: Evidence from the removal of mafia firms on commercial property values," Journal of Regional Science, Wiley Blackwell, vol. 62(5), pages 1487-1511, November.
    8. repec:zbw:bofitp:2020_024 is not listed on IDEAS
    9. Campedelli, Gian Maria & Daniele, Gianmarco & Martinangeli, Andrea F.M. & Pinotti, Paolo, 2023. "Organized crime, violence and support for the state," Journal of Public Economics, Elsevier, vol. 228(C).
    10. Anna Laura Baraldi & Giovanni Immordino & Erasmo Papagni & Marco Stimolo, 2023. "An Unintended Consequence of Gender Balance Laws: Mafia Fuels Political Violence," CSEF Working Papers 693, Centre for Studies in Economics and Finance (CSEF), University of Naples, Italy.
    11. Frank, Marco & Stadelmann, David, 2022. "Competition, Benchmarking, and Electoral Success: Evidence from 65 years of the German Bundestag," VfS Annual Conference 2022 (Basel): Big Data in Economics 264070, Verein für Socialpolitik / German Economic Association.
    12. Lonsky, Jakub, 2020. "Gulags, crime, and elite violence : origins and consequences of the Russian mafia," BOFIT Discussion Papers 24/2020, Bank of Finland, Institute for Economies in Transition.
    13. Frank, Marco & Stadelmann, David, 2023. "Competition, benchmarking, and electoral success: Evidence from 69 years of the German Bundestag," European Journal of Political Economy, Elsevier, vol. 77(C).
    14. Giovanni Bernardo & Irene Brunetti & Mehmet Pinar & Thanasis Stengos, 2021. "Measuring the presence of organized crime across Italian provinces: a sensitivity analysis," European Journal of Law and Economics, Springer, vol. 51(1), pages 31-95, February.
    15. Francesca Maria Calamunci & Federico Fabio Frattini, 2023. "When Crime Tears Communities Apart: Social Capital and Organised Crime," Working Papers 2023.08, Fondazione Eni Enrico Mattei.
    16. Bernecker, Andreas, 2014. "Do politicians shirk when reelection is certain? Evidence from the German parliament," European Journal of Political Economy, Elsevier, vol. 36(C), pages 55-70.
    17. Leopoldo Fergusson & Horacio Larreguy & Juan Felipe Riaño, 2022. "Political Competition and State Capacity: Evidence from a Land Allocation Program in Mexico," The Economic Journal, Royal Economic Society, vol. 132(648), pages 2815-2834.
    18. Daniele, Gianmarco, 2019. "Strike one to educate one hundred: Organized crime, political selection and politicians’ ability," Journal of Economic Behavior & Organization, Elsevier, vol. 159(C), pages 650-662.
    19. Galindo-Silva, Hector, 2015. "New parties and policy outcomes: Evidence from Colombian local governments," Journal of Public Economics, Elsevier, vol. 126(C), pages 86-103.
    20. Rezki, Jahen Fachrul, 2018. "Political Competition and Local Government Performance: Evidence from Indonesia," SocArXiv nekps, Center for Open Science.
    21. Daniele, Gianmarco & Dipoppa, Gemma, 2017. "Mafia, elections and violence against politicians," Journal of Public Economics, Elsevier, vol. 154(C), pages 10-33.

    More about this item

    Keywords

    Political competition; Organized crime;

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:liv:livedp:202307. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Rachel Slater (email available below). General contact details of provider: https://edirc.repec.org/data/mslivuk.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.