Political Fragmentation and Fiscal Outcomes

In: Public choice, Band 118, Heft 3-4, S. 365-388

Abstract

We analyze the effects of political fragmentation on fiscal policy in a number of ways, considering three kinds of fragmentation: size & control, institutional, & over time. In doing so we introduce a number of new variables that allow us to look at this issue in a broader way. At the same time we have tackled some methodological problems that affected previous analyses, using a panel of 19 OECD countries, 1975-1995. Overall, we find relatively poor evidence in favor of size & over-time fragmentation, & more evidence of institutional & control fragmentation. 7 Tables, 24 References. Adapted from the source document.