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What drives support for higher public spending?

Author

Listed:
  • Lindsay Brook

    (Institute for Fiscal Studies)

  • John Hall

    (Institute for Fiscal Studies)

  • Ian Preston

    (Institute for Fiscal Studies and University College London)

Abstract

This paper examines the role of individual and household characteristics in explaining patterns of support for higher public spending on seven of the most important public spending programmes including health, education, the police and defence. Different groups in the population, such as the elderly, those who are highly educated, and those who support particular political parties, tend to support distinctive types of spending. There is some evidence that use of private alternatives to public services reduces support for higher state spending in the fields of health care and transport, although no evidence is found that this is true for education. There is a fair degree of consonance between the factors affecting support for higher spending which individuals perceive as being in their own interest and that which they support as being in the interests of the country as a whole. Those differences that are found appear readily explicable. The association between having children in the household and supporting higher spending on education, for instance, is far stronger in the case of private interests than for the country as a whole. Personal use of private sector alternatives also appears to have less impact on perceptions of the national interest in expanded public provision than on perceptions of self interest. There is some evidence that individuals tend to express a greater degree of support for those benefits for which they might or do qualify themselves. Some groups, such as better-off households and Conservative supporters, are clearly more hostile than others to spending on social security spending generally.

Suggested Citation

  • Lindsay Brook & John Hall & Ian Preston, 1997. "What drives support for higher public spending?," IFS Working Papers W97/16, Institute for Fiscal Studies.
  • Handle: RePEc:ifs:ifsewp:97/16
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    Cited by:

    1. Rinaldo Brau & Gianluca Fiorentini & Matteo Lippi Bruni & Anna Maria Pinna, 2004. "La disponibilità a pagare per la copertura del rischio di non autosufficienza: analisi econometrica e valutazioni di "policy"," Politica economica, Società editrice il Mulino, issue 3, pages 357-388.
    2. Abbott, Andrew & Jones, Philip, 2021. "Government response to increased demand for public services: The cyclicality of government health expenditures in the OECD," European Journal of Political Economy, Elsevier, vol. 68(C).
    3. Rinaldo Brau & M. Lippi Bruni & Am Pinna, 2004. "Public vs private demand for covering long term care expenditures," Working Paper CRENoS 200408, Centre for North South Economic Research, University of Cagliari and Sassari, Sardinia.
    4. John Hall & Ian Preston, 1998. "Public and private choice in UK health insurance," IFS Working Papers W98/19, Institute for Fiscal Studies.
    5. Cormac O'Dea & Ian Preston, 2012. "The distributional impact of public spending in the UK," IFS Working Papers W12/06, Institute for Fiscal Studies.
    6. Hall, John & Preston, Ian, 2000. "Tax price effects on attitudes to hypothecated tax increases," Journal of Public Economics, Elsevier, vol. 75(3), pages 417-438, March.
    7. Declan French & Frank Kee & Mark O'Doherty, 2016. "Inequality and Regional Variations in Perceptions of Work Disability: Results from the English Longitudinal Study of Ageing," CHaRMS Working Papers 16-04, Centre for HeAlth Research at the Management School (CHaRMS).
    8. Carol Propper, 2001. "Expenditure on healthcare in the UK: a review of the issues," Fiscal Studies, Institute for Fiscal Studies, vol. 22(2), pages 151-183, June.

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