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Obfuscation, Inequality and Votes: A Model of Policy Choice under Rent Seeking

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  • David Hojman

    ()
    (University of Liverpool)

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    Abstract

    This paper applies the concept of optimal obfuscation to fast-growth, high-inequality emergent economies. The obfuscation level depends on the nature of policy, government propaganda or 'spin', and GDP growth. The conditions are identified for a negative impact of economic growth on electoral support for the government, as well as for the relative size of the impacts on the vote of a marginal decline in growth, as opposed to a marginal increase in the exogenous component of obfuscation. The model suggests reasons behind different responses in government policy, and policy labelling, to falling electoral support in Chile and Malaysia.

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    Bibliographic Info

    Paper provided by University of Liverpool Management School in its series Research Papers with number 2002_04.

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    Date of creation: 2002
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    Handle: RePEc:liv:livedp:2002_04

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    Postal: Management School University of Liverpool, Chatham Street, Liverpool, L69 7ZH, Great Britain
    Phone: +44(0)151 795 3108
    Fax: +44(0)151 795 3004
    Web page: http://www.liv.ac.uk/management/
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    Related research

    Keywords: Rent seeking; Optimal obfuscation; Inequality; Chile; Malaysia;

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