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Is the pendulum swinging back? Policy and politics in the return of big government

Author

Listed:
  • Marco MAGNANI
  • Gilberto SERAVALLI

    (Department of Economics University of Parma, Italy)

Abstract

In the era of «small government», policy was considered the right way to conceive the role of the state in society and in the economy. This was intended as a perspective able to reduce the room for politics, considered a (dangerous) clash of power and party interests, and ideology. Given the current return of «big government», how does one deal with the unavoidable return of politics? In this paper we construct a model showing that politics should be considered purposely in a rational setting, to support effective policy, insofar as the state and its activities need substantial consensus.

Suggested Citation

  • Marco MAGNANI & Gilberto SERAVALLI, 2009. "Is the pendulum swinging back? Policy and politics in the return of big government," Rivista Internazionale di Scienze Sociali, Vita e Pensiero, Pubblicazioni dell'Universita' Cattolica del Sacro Cuore, vol. 117(1), pages 61-84.
    • Handle: RePEc:vep:journl:y:2009:v:117:i:1:p:61-84
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    More about this item

    Keywords

    Politics; policy-making; local public goods; redistributive policies; elections;
    All these keywords.

    JEL classification:

    • D72 - Microeconomics - - Analysis of Collective Decision-Making - - - Political Processes: Rent-seeking, Lobbying, Elections, Legislatures, and Voting Behavior
    • H40 - Public Economics - - Publicly Provided Goods - - - General
    • H11 - Public Economics - - Structure and Scope of Government - - - Structure and Scope of Government

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