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Schnellenbach, Jan; Schubert, Christian - CESifo - 2014

Explaining individual behavior in politics should rely on the same motivational assumptions as explaining behavior in the market: That’s what Political Economy, understood as the application of economics to the study of political processes, is all about. In its standard variant, those who...

Persistent link: https://www.econbiz.de/10010948848

Politics and IMF Conditionality

Dreher, Axel; Sturm, Jan-Egbert; Vreeland, James Raymond - CESifo - 2013

Bailouts sponsored by the International Monetary Fund (IMF) are famous for their conditionality: in return for continued installments of desperately needed loans, governments must comply with austere policy changes. Many have suggested, however, that politically important countries face rather...

Persistent link: https://www.econbiz.de/10010877803

Altruistic Punishment in Elections

Aimone, Jason A.; Butera, Luigi; Stratmann, Thomas - CESifo - 2014

understanding of this form of costly punishment to help explain a puzzle of voting behavior: why do people who are indifferent … between two potential policy outcomes of an election participate in large-scale elections when voting is costly? Using a … simple voting experiment, we show that many voters are willing to engage in voting as a form of punishment, even when voting …

Persistent link: https://www.econbiz.de/10010888449

Lexicographic Voting

Klingelhöfer, Jan - CESifo - 2012

ideological policy dimension. Voters achieve this outcome by following a simple lexicographic voting strategy. They cast their …

Persistent link: https://www.econbiz.de/10010539147

Voting as a Signaling Device

Aytimur, R. Emre; Boukouras, Aristotelis; Schwager, Robert - CESifo - 2012

characteristics to others. The model is one of rational voting and generates the following predictions: (i) The paradox of not voting … does not arise, because the benefit of voting does not vanish with population size. (ii) Turnout in elections is positively … related to the size of the local community and the importance of social interactions. (iii) Voting may exhibit bandwagon …

Persistent link: https://www.econbiz.de/10009416121

The Political Economy of Sin Taxes

Haavio, Markus; Kotakorpi, Kaisa - CESifo - 2009

We analyse the determination of taxes on harmful goods when consumers have self-control problems. We show that under reasonable assumptions, the socially optimal corrective tax exceeds the average distortion caused by self-control problems. Further, we analyse how individuals with self-control...

Persistent link: https://www.econbiz.de/10004979413

Commuting Subsidies with two Transport Modes

Borck, Rainald; Wrede, Matthias - CESifo - 2007

We study a simple model of commuting subsidies with two transport modes. City residents choose where to live and which mode to use. When all land is owned by city residents, one group gains from subsidies what the other loses. With absentee landownership, city residents as a group gain at the...

Persistent link: https://www.econbiz.de/10005765644

A Positive Theory of Geographic Mobility and Social Insurance

Hassler, John; Mora, José V. Rodriguez; Storesletten, … - CESifo - 2002

This paper presents a tractable dynamic general equilibrium model that can explain cross-country empirical regularities in geographical mobility, unemployment and labor market institutions. Rational agents vote over unemployment insurance (UI), taking the dynamic distortionary e.ects of...

Persistent link: https://www.econbiz.de/10005765660

Political Economy of Commuting Subsidies

Borck, Rainald; Wrede, Matthias - CESifo - 2004

We study the political economy of commuting subsidies in a model of a mono-centric city with two income classes. Depending on housing demand and transport costs, either the rich or the poor live in the central city and the other group in the suburbs. Commuting subsidies increase the net income...

Persistent link: https://www.econbiz.de/10005765713

The Political Economy of Regional Integration Projects at Borders where Rich and Poor Meet: The Role of Cross-Border Shopping and Community Sorting

Dascher, Kristof; Haupt, Alexander - CESifo - 2008

At borders where rich and poor countries meet, services prices differ hugely. In principle, price differentials could be exploited to mutual benefit, offering improved job opportunities to the poor as well as better shopping opportunities to the rich. However, cross-border shopping is often...

Persistent link: https://www.econbiz.de/10005765854