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An Economic Theory of Leadership Turnover

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Author Info
Maria Gallego
Carolyn Pitchik

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Abstract

In an infinite horizon model, a leader of a group of citizens exerts effort in each period to maintain a public good that enhances the profits of a group of kingmakers. In each period, the kingmakers decide whether to overthrow the leader so as to have a chance of becoming the leader. Consistent with the empirical literature, we find that (1) leadership turnover occurs when the kingmakers\\\' expected earnings are low; (2) leadership turnover declines with duration in office; (3) leadership turnover declines as the technology for providing the public good improves; (4) leadership turnover increases as the number of kingmakers increases.

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File URL: http://repec.economics.utoronto.ca/files/UT-ECIPA-PITCHIK-99-01.pdf
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Publisher Info
Paper provided by University of Toronto, Department of Economics in its series Working Papers with number pitchik-99-01.

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Length: 35 pages
Date of creation: 09 Sep 1999
Date of revision:
Handle: RePEc:tor:tecipa:pitchik-99-01

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Related research
Keywords: coups d\'état; kingmakers; hazard rate; dynamic; stochastic games;

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Find related papers by JEL classification:
D72 - Microeconomics - - Analysis of Collective Decision-Making - - - Models of Political Processes: Rent-seeking, Elections, Legislatures, and Voting Behavior
C73 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory - - - Stochastic and Dynamic Games; Evolutionary Games
P16 - Economic Systems - - Capitalist Systems - - - Political Economy of Capitalism

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  1. George Egorov & Konstantin Sonin, 2005. "The Killing Game: Reputation and Knowledge in Non-Democratic Succession," Economics Working Papers 0054, Institute for Advanced Study, School of Social Science. [Downloadable!]
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  2. Georgy Egorov & Konstantin Sonin, 2005. "The Killing Game: Reputation and Knowledge in Politics of Succession," Game Theory and Information 0505003, EconWPA. [Downloadable!]
  3. Georgy Egorov & Sergei Guriev & Konstantin Sonin, 2006. "Media Freedom, Bureaucratic Incentives, and the Resource Curse," Working Papers w0063, Center for Economic and Financial Research (CEFIR), revised Jun 2006. [Downloadable!]
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  4. Georgy Egorov & Konstantin Sonin, 2005. "Dictators and Their Viziers: Agency Problems in Dictatorships," Economics Working Papers 0053, Institute for Advanced Study, School of Social Science. [Downloadable!]
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  5. Casey B. Mulligan & Kevin K. Tsui, 2008. "Political Entry, Public Policies, and the Economy," NBER Working Papers 13830, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
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