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Composition of Government Budget, Non-Single Peakedness and Majority Voting

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Author Info
Bearse, P.
Glomm, G.
Jeneba, E.

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Abstract

In this paper we study whether majority voting equilibria exist when preferences over public policies are not single-peaked. The government levies a proportional income tax. Tax revennues is used to finance a uniform lump-sum transfer and public education. Individuals vote on the composition of the government budget. We show that the single-crossing property cannot be invoked to establish existence of a majority voting equilibrium.

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Publisher Info
Paper provided by Michigan State - Econometrics and Economic Theory in its series Papers with number 9903.

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Length: 29 pages
Date of creation: 1999
Date of revision:
Handle: RePEc:fth:mistet:9903

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Postal: MICHIGAN STATE UNIVERSITY, DEPARTMENT OF ECONOMICS, EAST LANSING MICHIGAN 48824 U.S.A.
Phone: 517.355.7583
Fax: 517.432.1068
Web page: http://www.msu.edu/~ec/
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Related research
Keywords: VOTING ; TAXES;

Other versions of this item:

Find related papers by JEL classification:
D72 - Microeconomics - - Analysis of Collective Decision-Making - - - Models of Political Processes: Rent-seeking, Elections, Legislatures, and Voting Behavior
E60 - Macroeconomics and Monetary Economics - - Macroeconomic Policy, Macroeconomic Aspects of Public Finance, and General Outlook - - - General
E62 - Macroeconomics and Monetary Economics - - Macroeconomic Policy, Macroeconomic Aspects of Public Finance, and General Outlook - - - Fiscal Policy

Cited by:
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  1. Gilat Levy, 2004. "Public Education for the Minority,Private Education for the Majority," STICERD - Theoretical Economics Paper Series /2004/470, Suntory and Toyota International Centres for Economics and Related Disciplines, LSE. [Downloadable!]
  2. John Creedy & Solmaz Moslehi, 2007. "Modelling the Composition of Government Expenditure in Democracies," Department of Economics - Working Papers Series 1007, The University of Melbourne. [Downloadable!]
    Other versions:
  3. John Creedy & Shuyun May Li & Solmaz Moslehi, 2008. "The Composition of Government Expenditure in an Overlapping Generations Model," Department of Economics - Working Papers Series 1043, The University of Melbourne. [Downloadable!]
  4. John Creedy & Solmaz Moslehi, 2008. "Voting over Taxes and Expenditure: The Role of Home Production," Department of Economics - Working Papers Series 1052, The University of Melbourne. [Downloadable!]
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