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The macroeconomic impact of radical right populist parties in government

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  • Ferré, Montserrat
  • Manzano, Carolina

Abstract

The success of radical right populist parties in the last decades seems to rely on a combination of economically left-wing and culturally conservative attitudes. Moreover, many of these parties have established themselves as relevant actors in European democracies, entering government coalitions with more traditional conservative right-wing parties. Therefore, an interesting question emerges: what is the macroeconomic impact of this left-wing tendency on economic issues when these parties are in government? In this article we develop a Stackelberg game in a rational partisan theory model to study the macroeconomic effects of such coalitions on the expected values and the variability of inflation, output and government spending.

Suggested Citation

  • Ferré, Montserrat & Manzano, Carolina, 2022. "The macroeconomic impact of radical right populist parties in government," Journal of Macroeconomics, Elsevier, vol. 74(C).
    • Handle: RePEc:eee:jmacro:v:74:y:2022:i:c:s0164070422000647
    DOI: 10.1016/j.jmacro.2022.103471
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    References listed on IDEAS

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