Arbeitspapier
General or Central Government? Empirical Evidence on Political Cycles in Budget Composition Using New Data for OECD Countries
Previous studies used general government data to examine whether national governments' electoral motives and ideology influenced budget composition in OECD countries. General government data includes, however, the state and local level. Using new data for general and central government over the period 1995-2016, I reexamine political cycles in budget composition. The results suggest that, both at the general and central government level, leftwing governments spent more on education and less on public services than rightwing governments. Defense expenditure was somewhat lower under leftwing than rightwing governments and in election years; especially in federal states. Effects of government ideology on the individual expenditure categories are larger at the central than general government level. Scholars need to re-examine results on ideology-induced effects that have been derived from general government data where central government data should have been used.
- Language
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Englisch
- Bibliographic citation
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Series: CESifo Working Paper ; No. 8134
- Classification
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Wirtschaft
Political Processes: Rent-seeking, Lobbying, Elections, Legislatures, and Voting Behavior
Positive Analysis of Policy Formulation and Implementation
Macroeconomic Policy, Macroeconomic Aspects of Public Finance, and General Outlook: General
Fiscal Policies and Behavior of Economic Agents: General
National Government Expenditures and Related Policies: General
Single Equation Models; Single Variables: Panel Data Models; Spatio-temporal Models
Capitalist Systems: Political Economy
- Subject
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general and central government
budget composition
partisan politics
government ideology
electoral cycles
OECD countries
panel data models
- Event
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Geistige Schöpfung
- (who)
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Potrafke, Niklas
- Event
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Veröffentlichung
- (who)
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Center for Economic Studies and ifo Institute (CESifo)
- (where)
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Munich
- (when)
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2020
- Handle
- Last update
-
10.03.2025, 11:42 AM CET
Data provider
ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. If you have any questions about the object, please contact the data provider.
Object type
- Arbeitspapier
Associated
- Potrafke, Niklas
- Center for Economic Studies and ifo Institute (CESifo)
Time of origin
- 2020
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