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Wars of Attrition in Italian Government Coalitions and Fiscal Performance: 1948-1994

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  • Padovano, Fabio
  • Venturi, Larissa

Abstract

We test the "war of attrition" models of fiscal performance on the sample of Italian governments from 1948 to 1994. We control for conditioning phenomena, like government stability, majority size, central bank independence, political budget cycle and external economic constraints, as well as for business cycle indicators. We improve on the standard specifications of war of attrition models by considering the role of the opposition and by using ex ante measures of coalitions fragmentation. Once these phenomena are accounted for, data support the implications of our version of the war of attrition models. Copyright 2001 by Kluwer Academic Publishers

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  • Padovano, Fabio & Venturi, Larissa, 2001. "Wars of Attrition in Italian Government Coalitions and Fiscal Performance: 1948-1994," Public Choice, Springer, vol. 109(1-2), pages 15-54, October.
    • Handle: RePEc:kap:pubcho:v:109:y:2001:i:1-2:p:15-54
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    20. Benoît LE MAUX & Kristýna DOSTÁLOVÁ & Antti MOISIO, 2017. "Do political parties matter? Endogenous fragmentation, partisanship, and local public expenditures in Finland," Economics Working Paper from Condorcet Center for political Economy at CREM-CNRS 2017-02-ccr, Condorcet Center for political Economy.
    21. Roberto Ricciuti, 2004. "Political Fragmentation and Fiscal Outcomes," Public Choice, Springer, vol. 118(3_4), pages 365-388, March.
    22. Benoît Le Maux & Yvon Rocaboy, 2016. "Competition in fragmentation among political coalitions: theory and evidence," Public Choice, Springer, vol. 167(1), pages 67-94, April.
    23. Dash, Bharatee Bhusana & Raja, Angara V., 2012. "Political Determinants of the Allocation of Public Expenditures: A Study of the Indian States," Working Papers 12/101, National Institute of Public Finance and Policy.
    24. Francesco Lagona & Antonello Maruotti & Fabio Padovano, 2012. "The opposite Cycles of Laws and Decrees," Economics Working Paper from Condorcet Center for political Economy at CREM-CNRS 2012-01-ccr, Condorcet Center for political Economy.

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