EconStor >
HelmutSchmidtUniversität (HSU), Hamburg >
Fächergruppe Volkswirtschaftslehre, HelmutSchmidtUniversität (HSU) >
Diskussionspapiere, Fächergruppe VWL, HelmutSchmidtUniversität >
Please use this identifier to cite or link to this item:
http://hdl.handle.net/10419/38734

 
Title:   Mehr zu den politischen Segnungen von Föderalismus 
Authors:   Schneider, Andrea Zimmermann, Klaus W. 
Issue Date:   2009 
Series/Report no.:   Diskussionspapierreihe // HelmutSchmidtUniversität, Universität der Bundeswehr Hamburg, Fächergruppe Volkswirtschaftslehre 92 
Abstract:   The political blessings of federalism are the core of our discussion. These benefits are operationalized as the decrease in the number of outvoted in a federal system with majority voting as an important source of regime satisfaction. The approach originates from the work of Roland Pennock who developed a similar methodology exactly 50 years ago although he applied it to a slightly different topic. First, we show that decentralized decisionmaking is advantageous in the majority of logical cases since the expected value of the number of outvoted is lower compared to centralized decisionmaking. Comparing different cases, we conclude that the political force of the decentralizationtheorem (Oates) is a sole and inverse function of the population size of the nation: Next, the question is addressed how the gains from federalism react to variations in the number of regions: The complementary question what happens to the gains of federalism when increasing the number of alternatives to vote for is more difficult to answer for setups with more than 2 alternatives. In our special case with 2 regions and 3 alternatives, the model shows that augmenting the number of alternatives exerts a negative effect on the gains of federalism if we use our first indicator  the share of the sum of the highest number of outvoted. If instead we employ the shares of the average number of outvoted, then there is still a slight increase in the gains of federalism. Using the last indicator, a caserelated comparison of both effects shows that an increase in the number of regions has a stronger positive impact on the gains than letting the number of alternatives grow. Employing the other indicator of the share of the sum of the highest number of outvoted, then there is clearly a positive effect of the number of regions. But the effect of the number of alternatives is negative, implying that this last indicator underestimates the gains of federalism to a certain extent. Our integrative model explaining the gains of federalism reconfirms these interdependencies with the share of the sum of the highest numbers of outvoted: The first derivative is positive for more than 2 regions and the same holds for the size of the population at the national level in an unrestricted manner. separating positive and negative effects. Finally, we return to the opening question by analyzing the cumulative frequency distributions of the number of outvoted: Here, even if federalization is preferable as a whole, centralized decisionmaking is more advantageous for low numbers of outvoted, implying that the domain of decentralized decisionmaking seems to be connected to higher levels of the outvoted. 
Subjects:   Federalism Decentralization Outvoted 
JEL:   H77 D72 
Persistent Identifier of the first edition:   urn:nbn:de:gbv:705opus19752 
Document Type:   Working Paper 
Appears in Collections:   Diskussionspapiere, Fächergruppe VWL, HelmutSchmidtUniversität

 

 
Download bibliographical data as:
BibTeX

 
Share on:http://hdl.handle.net/10419/38734

Items in EconStor are protected by copyright, with all rights reserved, unless otherwise indicated.
