Arbeitspapier

Ethnic identities, public spending and political regimes

Do democracies discriminate less against minorities as compared to non-democracies? How does the dominance of an ethnic group affect discrimination under various political regimes? We build a theory which tries to answer such questions. In our model, political leaders (democratically elected or not) decide on the allocation of spending on different types of public goods: a general public good and an ethnically-targetable public good which benefits the majority ethnic group while imposing a cost on the other minorities. We show that, under democracy, lower ethnic dominance leads to greater provision of the general public good while higher dominance implies higher provision of the ethnically-targetable good. Interestingly, the opposite relation obtains under dictatorship. This implies that political regime changes can favour or disfavour minorities based on the ambient level of ethnic dominance. Several historical events involving regime changes can be analysed within our framework and are consistent with our results.

Language
Englisch

Bibliographic citation
Series: School of Economics Discussion Papers ; No. 1907

Classification
Wirtschaft
Political Processes: Rent-seeking, Lobbying, Elections, Legislatures, and Voting Behavior
Conflict; Conflict Resolution; Alliances; Revolutions
Publicly Provided Goods: General
Subject
Ethnic identities
Discrimination
Public spending
Political regimes

Event
Geistige Schöpfung
(who)
Ghosh, Sugata
Mitra, Anirban
Event
Veröffentlichung
(who)
University of Kent, School of Economics
(where)
Canterbury
(when)
2019

Handle
Last update
10.03.2025, 11:41 AM CET

Data provider

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Object type

  • Arbeitspapier

Associated

  • Ghosh, Sugata
  • Mitra, Anirban
  • University of Kent, School of Economics

Time of origin

  • 2019

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