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Electoral Competition with Uncertainty Averse Parties

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  • Sophie Bade

    ()
    (Max Planck Institute for Research on Collective Goods, Bonn)

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    Abstract

    The nonexistence of equilibria in models of electoral competition involving multiple issues is one of the more puzzling results in political economics. In this paper, we relax the standard assumption that parties act as expected utility maximizers. We show that equilibria often exist when parties with limited knowledge about the electorate are modeled as uncertainty-averse. What is more, these equilibria can be characterized as a straightforward generalization of the classical median voter result.

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    File URL: http://www.coll.mpg.de/pdf_dat/2010_22online.pdf
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    Bibliographic Info

    Paper provided by Max Planck Institute for Research on Collective Goods in its series Working Paper Series of the Max Planck Institute for Research on Collective Goods with number 2010_22.

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    Date of creation: May 2010
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    Handle: RePEc:mpg:wpaper:2010_22

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    Related research

    Keywords: Uncertainty Aversion; Multiple Priors; Median Voter; Electoral Competition over many Issues;

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