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Bribing Voters

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  • Ernesto Dal Bó

Abstract

We present a model of influence over collective decisions made through voting. We show how an outside party offering incentives to a committee can manipulate the committee's decisions at no cost and induce inefficient outcomes. A key condition is that the outsider be able to reward decisive votes differently. Inefficiency results from voting externalities. We relax all initial assumptions to investigate how to insulate committees. We study different information settings, credibility assumptions, payoff structures (voters caring about the collective decision and about their own votes), and incentive schemes (offers contingent on pivotal votes, individual votes, vote shares, and the collective decision). We analyze when voting should be made secret; we elucidate the role of individual accountability and various political institutions in preventing vote buying. We discuss implications for lobbying, for clientelism, for decisions in legislatures, boards, and central banks, and for the efficiency of democracy.

Suggested Citation

  • Ernesto Dal Bó, 2007. "Bribing Voters," American Journal of Political Science, John Wiley & Sons, vol. 51(4), pages 789-803, October.
    • Handle: RePEc:wly:amposc:v:51:y:2007:i:4:p:789-803
    DOI: 10.1111/j.1540-5907.2007.00281.x
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    References listed on IDEAS

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    1. Mr. Felix J Vardy & Mr. John Morgan, 2006. "Corruption, Competition, and Contracts: A Model of Vote Buying," IMF Working Papers 2006/011, International Monetary Fund.
    2. Anthony Downs, 1957. "An Economic Theory of Political Action in a Democracy," Journal of Political Economy, University of Chicago Press, vol. 65(2), pages 135-135.
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    Cited by:

    1. Alessandra Casella & Aniol Llorente-Saguer & Thomas R. Palfrey, 2012. "Competitive Equilibrium in Markets for Votes," Journal of Political Economy, University of Chicago Press, vol. 120(4), pages 593-658.
    2. Matthias Dahm & Robert Dur & Amihai Glazer, 2009. "Lobbying of Firms by Voters," Working Papers 080926, University of California-Irvine, Department of Economics.
    3. Krehbiel, Keith & Meirowitz, Adam & Wiseman, Alan E., 2013. "A Theory of Competitive Partisan Lawmaking," Research Papers 2136, Stanford University, Graduate School of Business.
    4. Winschel, Evguenia, 2012. "Coalition formation for unpopular reform in the presence of private reputation costs," Working Papers 13-08, University of Mannheim, Department of Economics.
    5. Monica Martinez-Bravo, 2014. "The Role of Local Officials in New Democracies: Evidence from Indonesia," American Economic Review, American Economic Association, vol. 104(4), pages 1244-1287, April.
    6. Leight, Jessica & Foarta, Dana & Pande, Rohini & Ralston, Laura, 2020. "Value for money? Vote-buying and politician accountability," Journal of Public Economics, Elsevier, vol. 190(C).
    7. Eddie Dekel & Matthew O. Jackson & Asher Wolinsky, 2008. "Vote Buying: General Elections," Journal of Political Economy, University of Chicago Press, vol. 116(2), pages 351-380, April.
    8. Eguia, Jon X. & Nicolo, Antonio, 2019. "Information and targeted spending," Theoretical Economics, Econometric Society, vol. 14(2), May.
    9. Jessica Leight & Rohini Pande & Laura Ralston, 2016. "Value for Money? Vote-Buying and Politician Accountability in the Laboratory," Department of Economics Working Papers 2016-15, Department of Economics, Williams College.
    10. Maik T. Schneider, 2010. "The Larger the Better? The Role of Interest-Group Size in Legislative Lobbying," CER-ETH Economics working paper series 10/126, CER-ETH - Center of Economic Research (CER-ETH) at ETH Zurich.

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