Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/267280 
Year of Publication: 
2022
Series/Report no.: 
CESifo Working Paper No. 10047
Publisher: 
Center for Economic Studies and ifo Institute (CESifo), Munich
Abstract: 
We study how partisan alignment across levels of government affects coalition formation and government stability using a regression discontinuity design and a large dataset of Spanish municipal elections. We document a positive effect of alignment on both government formation and stability. Alignment increases the probability that the most-voted party appoints the mayor and decreases the probability that the government is unseated during the term. Aligned parties also obtain sizeable electoral gains in the next elections over unaligned ones. We show that these findings are not the consequence of favoritism in the allocation of transfers towards aligned governments.
Subjects: 
government stability
government formation
political alignment
inter-governmental relations
JEL: 
D72
H20
H77
Document Type: 
Working Paper
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