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Title:Political polarization and the size of government PDF Logo
Authors:Lindqvist, Erik
Östling, Robert
Issue Date:2006
Series/Report no.:SSE/EFI Working Paper Series in Economics and Finance 628
Abstract:We study the effect of political polarization on public spending using the dispersion of self-reported political preferences as our measure of polarization. Political polarization is strongly associated with smaller government in democratic countries, but there is no relationship between polarization and the size of government in undemocratic countries. The results are robust to a large set of control variables, including GDP per capita and income inequality.
Subjects:Political polarization
social cohesion
size of government
redistribution
JEL:H10
H20
H41
Document Type:Working Paper
Appears in Collections:SSE/EFI Working Paper Series in Economics and Finance, EFI - The Economic Research Institute, Stockholm School of Economics

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