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On Compulsory Voting and Income Inequality in a Cross-Section of Countries

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  • Alberto Chong
  • Mauricio Olivera

Abstract

This paper explores the link between compulsory voting and income distribution using a cross-section of countries around the world. Our empirical cross-country analysis for 91 countries during the period 1960-2000 shows that compulsory voting, when enforced strictly, improves income distribution, as measured by the Gini coefficient and the bottom income quintiles of the population. Our findings are robust to changes and additions to our benchmark specification. Since poorer countries suffer from relatively greater income inequality, it might make sense to promote such voting schemes in developing regions such as Latin America. This proposal assumes that bureaucratic costs related with design and implementation are not excessive.

Suggested Citation

  • Alberto Chong & Mauricio Olivera, 2005. "On Compulsory Voting and Income Inequality in a Cross-Section of Countries," Research Department Publications 4413, Inter-American Development Bank, Research Department.
  • Handle: RePEc:idb:wpaper:4413
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    Cited by:

    1. Ryo Arawatari, 2009. "Informatization, voter turnout and income inequality," The Journal of Economic Inequality, Springer;Society for the Study of Economic Inequality, vol. 7(1), pages 29-54, March.
    2. Martin Baur, 2010. "Politics and Income Distribution," Chapters, in: Neri Salvadori (ed.), Institutional and Social Dynamics of Growth and Distribution, chapter 3, Edward Elgar Publishing.

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    More about this item

    JEL classification:

    • C00 - Mathematical and Quantitative Methods - - General - - - General
    • D31 - Microeconomics - - Distribution - - - Personal Income and Wealth Distribution
    • J3 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs
    • J30 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - General
    • J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials
    • J32 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Nonwage Labor Costs and Benefits; Retirement Plans; Private Pensions
    • J33 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Compensation Packages; Payment Methods
    • J38 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Public Policy
    • J39 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Other
    • P5 - Political Economy and Comparative Economic Systems - - Comparative Economic Systems
    • P5 - Political Economy and Comparative Economic Systems - - Comparative Economic Systems

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