This work analyzes the impact of asymmetric financial constraints on the platforms of parties, using a formal model of elections. The main results show that when a party faces a tight financial constraint, the platform chosen in equilibrium is further away from its ideal point compared with the...

Political campaign spending ceilings are purported to limit the incumbent's ability to exploit his fundraising advantage. If the challenger does not have superior campaign effectiveness, in contrast to conventional wisdom, we show that the incumbent always benefits from a limit as long as he has...