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Rent-seeking and the polarization of politics

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  • Klingelhöfer, Jan

Abstract

I present a model in which a centrist electorate leads to partisan politics and vice versa. A centrist electorate benefits from an equilibrium in which only ideological politicians are elected in so far as ideological politicians are willing to give up more rents in return for a higher chance of being reelected than centrist politicians. However, in this .partisan equilibrium only centrist voters can commit to support ideological politicians in return for low levels of rent-seeking. Consequently, the more likely the centrist voters are to be decisive in the election, the lower are the rents that are consistent with equilibrium. If partisan voters are more likely to be decisive, rents in the partisan equilibrium are larger and the equilibrium might even cease to exist. However, there is an alternative equilibrium in which only centrist politicians run for o¢ ce. The model provides a possible explanation why wee see more partisan politicians being elected in the United States in recent years although the electorate seems not more partisan than before. One implication is that a reduction of rent seeking possibilities would have the additional bene.t of less volatile and less ideological policies.

Suggested Citation

  • Klingelhöfer, Jan, 2018. "Rent-seeking and the polarization of politics," VfS Annual Conference 2018 (Freiburg, Breisgau): Digital Economy 181549, Verein für Socialpolitik / German Economic Association.
  • Handle: RePEc:zbw:vfsc18:181549
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    References listed on IDEAS

    as
    1. Hirano, Shigeo & Snyder, James M. & Ansolabehere, Stephen & Hansen, John Mark, 2010. "Primary Elections and Partisan Polarization in the U.S. Congress," Quarterly Journal of Political Science, now publishers, vol. 5(2), pages 169-191, August.
    2. Richard Van Weelden, 2013. "Candidates, Credibility, and Re-election Incentives," The Review of Economic Studies, Review of Economic Studies Ltd, vol. 80(4), pages 1622-1651.
    3. Klingelhöfer Jan, 2015. "Lexicographic Voting: Holding Parties Accountable in the Presence of Downsian Competition," The B.E. Journal of Economic Analysis & Policy, De Gruyter, vol. 15(4), pages 1867-1892, October.
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    More about this item

    Keywords

    Accountability; Elections; Downsian Competition; Voting; Political polarization;
    All these keywords.

    JEL classification:

    • D72 - Microeconomics - - Analysis of Collective Decision-Making - - - Political Processes: Rent-seeking, Lobbying, Elections, Legislatures, and Voting Behavior

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