This review paper articulates the relationship between prediction market data and event studies, with a special focus on applications in political economy. Event studies have been used to address a variety of political economy questions—from the economic effects of party control of government...

Japan experienced a major change of government in September 2009. It was a remarkable political event, because Japanese politics was dominated by the Liberal Democratic Party (LDP) in almost all the years following the end of World War ll. The new coalition government led by the Democratic Party...

This study investigates the effects of gender quotas in national elections on political participation, public policy, and corruption in Latin America. We are able to replicate the findings from previous research that women in politics do affect these outcomes, but only when we treat the number...

This review paper articulates the relationship between prediction market data and event studies, with a special focus on applications in political economy. Event studies have been used to address a variety of political economy questions from the economic effects of party control of government to...

Using rainfall, public relief, and election data from India, we examine how governments respond to adverse shocks and how voters react to these responses. The data show that voters punish the incumbent party for weather events beyond its control. However, fewer voters punish the ruling party...

In the last decades, though in absence of formal reforms, some events have changed the role of the Italian Parliament in the budget decision, introducing the executive supremacy in the budget decision. The new balance of power between executive and legislative suggests to reshape the...

Do elections allow voters to express their policy preferences, with change in government spending patterns following the election of a new leader? How long does it take for the composition of government spending to change following a change in leadership? Or, do significant spending changes...

Intergenerational conflicts may arise when interests of different age groups do not align. We examine cross-country data to find evidence for this conflict in OECD countries. We derive our results from a FGLS estimation model, which is complemented by a System-GMM estimation. Data covers a panel...

This paper examines the relation between political corruption and the composition of public spending. A rent-seeking model is used to describe political rent creation through the composition of public spending. Political corruption is indicated by empirical results for 29 OECD countries for the...

Exploiting a natural voting experiment we identify female preferences for real policy issues in the electorate. We then analyze whether female or male politicians in parliament more closely correspond to female preferences. Holding constant revealed constituent preferences, there is generally no...