Arbeitspapier

Economic deprivation and radical voting: Evidence from Germany

This paper studies the impact of economic deprivation on radical voting. Using a unique dataset covering different indicators of economic deprivation as well as federal election outcomes at the county-level in Germany for the period from 1998 to 2017, we examine whether economic deprivation affects the share of votes for radical right and left-wing parties using instrumental variable estimation. Our results suggest that an increase in economic deprivation has a sizeable effect on the support for radical parties at both ends of the political spectrum. The higher a county's rate of relative poverty, the average shortfall from the national median income, and the poverty line, the higher the vote share of radical right-wing and left-wing parties. We also provide evidence that regional variation in economic deprivation gave rise to the electoral success of the populist right-wing party AfD in the federal election of 2017. Our findings thus indicate that a rise in economic deprivation may undermine moderate political forces and be a threat to political stability.

Language
Englisch

Bibliographic citation
Series: ifo Working Paper ; No. 336

Classification
Wirtschaft
Measurement and Analysis of Poverty
Personal Income, Wealth, and Their Distributions
Bureaucracy; Administrative Processes in Public Organizations; Corruption
Subject
economic deprivation
inequality
political polarization
radical voting
Germany

Event
Geistige Schöpfung
(who)
Dorn, Florian
Fuest, Clemens
Immel, Lea
Neumeier, Florian
Event
Veröffentlichung
(who)
ifo Institute - Leibniz Institute for Economic Research at the University of Munich
(where)
Munich
(when)
2020

Handle
Last update
10.03.2025, 11:42 AM CET

Data provider

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Object type

  • Arbeitspapier

Associated

  • Dorn, Florian
  • Fuest, Clemens
  • Immel, Lea
  • Neumeier, Florian
  • ifo Institute - Leibniz Institute for Economic Research at the University of Munich

Time of origin

  • 2020

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