Testing the Implications of the Olson Hypothesis
AbstractConsiderable attention has been paid to the hypothesis, advanced by M. Olson, that accumulations of interest groups build up over time and retard economic performance. Most previous tests of this hypothesis have been based on comparisons of growth rates. In this paper, it is argued that comparisons of income yield a superior test. Strong forms of the Olson hypothesis, in which shocks such as revolution and war yield positive benefits, are rejected using this test. Copyright 1992 by The London School of Economics and Political Science.
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Bibliographic InfoArticle provided by London School of Economics and Political Science in its journal Economica.
Volume (Year): 59 (1992)
Issue (Month): 235 (August)
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- Bonnie Wilson & Jac Heckelman, 2010.
"The Political Economy of Investment: Sclerotic Effects from Interest Groups,"
2012-03, Saint Louis University, Department of Economics.
- Coates, Dennis & Heckelman, Jac C. & Wilson, Bonnie, 2010. "The political economy of investment: Sclerotic effects from interest groups," European Journal of Political Economy, Elsevier, vol. 26(2), pages 208-221, June.
- Caporale, Tony & Leirer, Jonathan, 2010. "Take the money and run: Political turnover, rent-seeking and economic growth," Journal of Economic Behavior & Organization, Elsevier, vol. 76(2), pages 406-412, November.
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