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Lobbying of Firms by Voters

Author

Listed:
  • Matthias Dahm

    (Universitat Rovira i Virgili)

  • Robert Dur

    (Erasmus University Rotterdam, CESifo, IZA)

  • Amihai Glazer

    (University of California, Irvine)

Abstract

A firm may induce voters or elected politicians to support a policy it favors by suggesting that it is more likely to invest in a district whose voters or representatives support the policy. In equilibrium, no one vote may be decisive, and the policy may gain strong support though the majority of districts suffer from adoption of the program. When votes reveal information about the district, the firm's implicit promise or threat can be credible.

Suggested Citation

  • Matthias Dahm & Robert Dur & Amihai Glazer, 2009. "Lobbying of Firms by Voters," Tinbergen Institute Discussion Papers 09-068/1, Tinbergen Institute.
    • Handle: RePEc:tin:wpaper:20090068
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    References listed on IDEAS

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    More about this item

    Keywords

    Lobbying; voting; special interests; influence;
    All these keywords.

    JEL classification:

    • C72 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory - - - Noncooperative Games
    • D72 - Microeconomics - - Analysis of Collective Decision-Making - - - Political Processes: Rent-seeking, Lobbying, Elections, Legislatures, and Voting Behavior
    • D78 - Microeconomics - - Analysis of Collective Decision-Making - - - Positive Analysis of Policy Formulation and Implementation

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