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Personal Influence: Social Context and Political Competition

Author

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  • Andrea Galeotti
  • Andrea Mattozzi

Abstract

This paper studies the effect of social learning on political outcomes in a model of informative campaign advertising. Voters' communication network affects parties' incentives to disclose political information, voters' learning about candidates running for office, and polarization of the electoral outcome. In richer communication networks, parties disclose less political information and voters are more likely to possess erroneous beliefs about the characteristics of the candidates. In turn, a richer communication network among voters may lead to political polarization. These results are reinforced when interpersonal communication occurs more frequently among ideologically homogeneous individuals and parties can target political advertising.(JEL D72, D85, M37, Z13)
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Suggested Citation

  • Andrea Galeotti & Andrea Mattozzi, 2011. "Personal Influence: Social Context and Political Competition," Levine's Bibliography 786969000000001694, UCLA Department of Economics.
    • Handle: RePEc:cla:levrem:786969000000001694
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    References listed on IDEAS

    as
    1. Stephen Coate, 2004. "Political Competition with Campaign Contributions and Informative Advertising," Journal of the European Economic Association, MIT Press, vol. 2(5), pages 772-804, September.
    2. Beck, Paul Allen & Dalton, Russell J. & Greene, Steven & Huckfeldt, Robert, 2002. "The Social Calculus of Voting: Interpersonal, Media, and Organizational Influences on Presidential Choices," American Political Science Review, Cambridge University Press, vol. 96(1), pages 57-73, March.
    3. Anthony Downs, 1957. "An Economic Theory of Political Action in a Democracy," Journal of Political Economy, University of Chicago Press, vol. 65(2), pages 135-135.
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    Citations

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    Cited by:

    1. Amos Owen Thomas, 2016. "Voter empowerment for emerging democracies: Mobilising the marginalised in Peru," International Review on Public and Nonprofit Marketing, Springer;International Association of Public and Non-Profit Marketing, vol. 13(3), pages 239-263, October.
    2. Wataru Tamura, 2012. "A Theory of Multidimensional Information Disclosure," ISER Discussion Paper 0828, Institute of Social and Economic Research, Osaka University.
    3. Jing Cai & Alain De Janvry & Elisabeth Sadoulet, 2015. "Social Networks and the Decision to Insure," American Economic Journal: Applied Economics, American Economic Association, vol. 7(2), pages 81-108, April.
    4. Bonan, Jacopo & Battiston, Pietro & Bleck, Jaimie & LeMay-Boucher, Philippe & Pareglio, Stefano & Sarr, Bassirou & Tavoni, Massimo, 2021. "Social interaction and technology adoption: Experimental evidence from improved cookstoves in Mali," World Development, Elsevier, vol. 144(C).
    5. Monica Anna Giovanniello, 2017. "Echo Chambers: Voter-to-Voter Communication and Political Competition," 2017 Papers pgi364, Job Market Papers.
    6. Amit Gandhi & Daniela Iorio & Carly Urban, 2016. "Negative Advertising and Political Competition," The Journal of Law, Economics, and Organization, Oxford University Press, vol. 32(3), pages 433-477.
    7. Diffo Lambo, Lawrence & Pongou, Roland & Tchantcho, Bertrand & Wambo, Pierre, 2015. "Networked politics: political cycles and instability under social influences," MPRA Paper 65641, University Library of Munich, Germany.
    8. Jadbabaie, Ali & Kakhbod, Ali, 2019. "Optimal contracting in networks," Journal of Economic Theory, Elsevier, vol. 183(C), pages 1094-1153.
    9. Ignacio Ortuño Ortín & Christian Schultz, 2012. "Public funding of political parties when campaigns are informative Abstract: The paper considers public funding of political parties when some voters are poorly informed about parties? candidates and ," EPRU Working Paper Series 2012-05, Economic Policy Research Unit (EPRU), University of Copenhagen. Department of Economics.
    10. Lever Guzmán Carlos, 2010. "Strategic Spending in Voting Competitions with Social Networks," Working Papers 2010-16, Banco de México.
    11. Bogaçhan Çelen & Kyle Hyndman, 2012. "Social Learning Through Endogenous Information Acquisition: An Experiment," Management Science, INFORMS, vol. 58(8), pages 1525-1548, August.
    12. Diffo Lambo, Lawrence & Pongou, Roland & Tchantcho, Bertrand & Wambo, Pierre, 2015. "Networked Politics: Political Cycles and Instability under Social Influences," MPRA Paper 65598, University Library of Munich, Germany.

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    More about this item

    JEL classification:

    • D72 - Microeconomics - - Analysis of Collective Decision-Making - - - Political Processes: Rent-seeking, Lobbying, Elections, Legislatures, and Voting Behavior
    • D85 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Network Formation
    • M37 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Marketing and Advertising - - - Advertising
    • Z13 - Other Special Topics - - Cultural Economics - - - Economic Sociology; Economic Anthropology; Language; Social and Economic Stratification

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