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Political Competition in a Model of Economic Growth; Some Theoretical Results

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  • Boylan, Richard.
  • Ledyard, John O.
  • McKelvey, Richard D.

Abstract

We analyze the role of political competition on the type of economic policies that are selected in a one sector model of economic growth. We identify conditions under which neoclassical optimal growth plans occur, and conditions in which political business cycles occur. We find that the ability commit to multi-period economic policy leads to less political stability of economic plans.
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  • Boylan, Richard. & Ledyard, John O. & McKelvey, Richard D., "undated". "Political Competition in a Model of Economic Growth; Some Theoretical Results," Working Papers 780, California Institute of Technology, Division of the Humanities and Social Sciences.
    • Handle: RePEc:clt:sswopa:780
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    File URL: http://www.hss.caltech.edu/SSPapers/sswp780c.pdf
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    Cited by:

    1. Christian Roessler & Sandro Shelegia & Bruno Strulovici, 2018. "Collective Commitment," Journal of Political Economy, University of Chicago Press, vol. 126(1), pages 347-380.
    2. Mikhail Pakhnin, 2021. "Collective Choice with Heterogeneous Time Preferences," CESifo Working Paper Series 9141, CESifo.
    3. Borissov, Kirill & Pakhnin, Mikhail & Puppe, Clemens, 2017. "On discounting and voting in a simple growth model," European Economic Review, Elsevier, vol. 94(C), pages 185-204.
    4. Battaglini, Marco & Nunnari, Salvatore & Palfrey, Thomas R., 2012. "Legislative Bargaining and the Dynamics of Public Investment," American Political Science Review, Cambridge University Press, vol. 106(4), pages 908-909, November.
    5. Christian Roessler & Sandro Shelegia & Bruno Strulovici, 2018. "Collective Commitment," Journal of Political Economy, University of Chicago Press, vol. 126(1), pages 347-380.

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