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Title:The scapegoat of heterogeneity: how fragmentation influences political decisionmaking PDF Logo
Authors:Ahlfeld, Corinna
Issue Date:2009
Series/Report no.:Diskussionsbeiträge aus dem Volkswirtschaftlichen Seminar der Universität Göttingen 143
Abstract:It is regularly stated that political fragmentation has negative effects on reforms leading to delays or even blockades. This connection is reflected in the ‘weak government hypothesis’ arguing that fragmented governments create higher budget deficits. Although the assumption seems logical, reviewing theoretical and empirical research on the topic does not completely support this hypothesis. In fact, only few theoretical models concentrate on the impact of fragmentation and empirical findings on the issue are ambiguous. Disentangling the effect is intricate: The definition of fragmentation has various dimensions and every model or empirical study does neglect at least some important factors. In the following I would like to shed some light on the relation and the shortcomings of recent findings. As fragmentation will have various effects on political actions it seems unjustified to generally make it the scapegoat of reform delays.
Subjects:political economy
reform delay
fragmentation
JEL:H3
D7
H10
Document Type:Working Paper
Appears in Collections:Diskussionsbeiträge aus dem Volkswirtschaftlichen Seminar, Universität Göttingen

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