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Electoral Cycles in Active Labor Market Policies

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  • Mario Mechtel

    ()
    (Faculty of Economics and Social Sciences, University of Tübingen, Germany)

  • Niklas Potrafke

    ()
    (Department of Economics, University of Konstanz, Germany)

Abstract

We examine how electoral motives influence active labor market policies that promote (short term) job-creation. Such policies reduce measures of unemployment. Using German state data for the period 1985 to 2004, we show that election-motivated politicians pushed jobpromotion schemes before elections.

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Paper provided by Department of Economics, University of Konstanz in its series Working Paper Series of the Department of Economics, University of Konstanz with number 2011-39.

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Length: 25 pages
Date of creation: 06 Oct 2011
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Handle: RePEc:knz:dpteco:1139

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Keywords: political business cycles; opportunistic politicians; active labor market policies;

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Cited by:
  1. Mario Mechtel & Niklas Potrafke, 2012. "Aktive Arbeitsmarktpolitik und Wahltermine," Ifo Schnelldienst, Ifo Institute for Economic Research at the University of Munich, vol. 65(16), pages 35-37, 08.
  2. Spyros Skouras & Nicos Christodoulakis, 2014. "Electoral misgovernance cycles: evidence from wildfires and tax evasion in Greece," Public Choice, Springer, Springer, vol. 159(3), pages 533-559, June.
  3. Spyros Skouras & Nicos Christodoulakis, 2011. "Electoral Misgovernance Cycles: Evidence from wildfires and tax evasion in Greece and elsewhere," GreeSE – Hellenic Observatory Papers on Greece and Southeast Europe, Hellenic Observatory, LSE 47, Hellenic Observatory, LSE.

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