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Evaluating Rational Partisan Business Cycle Theory: A Response

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  • Alberto Alesina
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    Abstract

    In a recent article published in this journal Steven Sheffrin presented the results of two tests on the so called "Rational Partisan Theory". Sheffrin concluded that the evidence provides "little support for a strict interpretation of the theory". This note argues that, although interesting in itself, the tests performed by Sheffrin are not particularly informative about the empirical relevance of the Rational Partisan Theory. Also, this note reconciles Sheffrin's results on OECD economies with the literature, which, in general, has found rather supportive evidence for the Rational Partisan Theory. Copyright 1991 Blackwell Publishers Ltd..

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    Bibliographic Info

    Article provided by Wiley Blackwell in its journal Economics & Politics.

    Volume (Year): 3 (1991)
    Issue (Month): 1 (03)
    Pages: 63-71

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    Handle: RePEc:bla:ecopol:v:3:y:1991:i:1:p:63-71

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    Cited by:
    1. Jon Faust & John Irons, 1996. "Money, politics and the post-war business cycle," International Finance Discussion Papers 572, Board of Governors of the Federal Reserve System (U.S.).
    2. Jerôme, Bruno & Jerôme-Speziari, Véronique, 2010. "Forecasting partisan dynamics in Europe," International Journal of Forecasting, Elsevier, vol. 26(1), pages 98-115, January.
    3. Troeger, Vera, 2012. "De Facto Capital Mobility, Equality, and Tax Policy in Open Economies," CAGE Online Working Paper Series 84, Competitive Advantage in the Global Economy (CAGE).
    4. Belke, Ansgar, 2000. " Partisan Political Business Cycles in the German Labour Market? Empirical Tests in the Light of the Lucas-Critique," Public Choice, Springer, vol. 104(3-4), pages 225-83, September.
    5. repec:cge:warwcg:83 is not listed on IDEAS

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