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Economic Dynamics And Government Stability In Postwar Italy

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  • Antonio Merlo

Abstract

In this paper I estimate a duration model of the Italian government. The main finding of the paper is that the downfall probability of an Italian government depends on both political and economic factors. In particular, the higher the inflation rate and the higher the number of workhours lost in strikes both at the time a government forms and during its tenure in office, the more likely it is for a government to collapse. This result has important consequences for the validity of political theories of the business cycle. © 1998 by the President and Fellows of Harvard College and the Massachusetts Institute of Technolog

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File URL: http://www.mitpressjournals.org/doi/pdf/10.1162/003465398557717
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Bibliographic Info

Article provided by MIT Press in its journal The Review of Economics and Statistics.

Volume (Year): 80 (1998)
Issue (Month): 4 (November)
Pages: 629-637

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Handle: RePEc:tpr:restat:v:80:y:1998:i:4:p:629-637

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Web page: http://mitpress.mit.edu/journals/

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Cited by:
  1. Carmignani, Fabrizio, 2009. "The distributive effects of institutional quality when government stability is endogenous," European Journal of Political Economy, Elsevier, vol. 25(4), pages 409-421, December.
  2. Fabrizio Carmignani, 2001. "Political Data for Applied Political Economy Research," Working Papers 43, University of Milano-Bicocca, Department of Economics, revised Jul 2001.
  3. Diermeier, Daniel & Eraslan, H�lya & Merlo, Antonio, 2007. "Bicameralism and Government Formation," International Quarterly Journal of Political Science, now publishers, vol. 2(3), pages 227-252, August.
  4. Diermeier, Daniel & Eraslan, Hulya & Merlo, Antonio, 2002. "Coalition governments and comparative constitutional design," European Economic Review, Elsevier, vol. 46(4-5), pages 893-907, May.
  5. Daniel Diermeier & Hulya Eraslan & Antonio Merlo, 2003. "The Effects of Constitutions on Coalition Governments in Parliamentary Democracies," PIER Working Paper Archive 03-037, Penn Institute for Economic Research, Department of Economics, University of Pennsylvania.
  6. Daniel Diermeier & Hulya Eraslan & Antonio Merlo, 2002. "Bicameralism and Government Formation, Second Version," PIER Working Paper Archive 07-010, Penn Institute for Economic Research, Department of Economics, University of Pennsylvania, revised 01 Feb 2007.
  7. Sven de Vries & Rakesh Vohra, 2000. "A Structural Model of Government Formation," Discussion Papers 1297, Northwestern University, Center for Mathematical Studies in Economics and Management Science.

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