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Economics and Ideology: Causal Evidence of the Impact of Economic Conditions on Support for Redistribution and Other Ballot Proposals

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  • Eric J. Brunner
  • Stephen L. Ross
  • Ebonya L. Washington

Abstract

Using California ballot proposition returns and exogenous shifts to labor demand, we provide the first large-scale causal evidence of the impact of economic conditions on policy preferences. Consistent with economic theory, we find that positive economic shocks decrease support for redistributive policies. More notably, we find evidence of a need for cognitive consistency in voting behavior as economic shocks have a smaller significant impact on voting on non-economic ballot issues. While we also demonstrate that positive shocks decrease turnout, we present evidence that our results reflect changes to the electorate's preferences and not simply to its composition.

Suggested Citation

  • Eric J. Brunner & Stephen L. Ross & Ebonya L. Washington, 2008. "Economics and Ideology: Causal Evidence of the Impact of Economic Conditions on Support for Redistribution and Other Ballot Proposals," NBER Working Papers 14091, National Bureau of Economic Research, Inc.
    • Handle: RePEc:nbr:nberwo:14091
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    1. Manuel Bagues & Berta Esteve-Volart, 2016. "Politicians’ Luck of the Draw: Evidence from the Spanish Christmas Lottery," Journal of Political Economy, University of Chicago Press, vol. 124(5), pages 1269-1294.
    2. Sylwia Pietkowska-Kamieniecka & Joanna Rutecka-Gora & Damian Walczak, 2019. "Willingness to redistribute: the case of Poland," Public Sector Economics, Institute of Public Finance, vol. 43(3), pages 247-266.
    3. Erzo F. P. Luttmer & Monica Singhal, 2011. "Culture, Context, and the Taste for Redistribution," American Economic Journal: Economic Policy, American Economic Association, vol. 3(1), pages 157-179, February.

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    More about this item

    JEL classification:

    • D72 - Microeconomics - - Analysis of Collective Decision-Making - - - Political Processes: Rent-seeking, Lobbying, Elections, Legislatures, and Voting Behavior
    • H0 - Public Economics - - General

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