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Trust in institutions: Narrowing the ideological gap over the federal budget

Author

Listed:
  • Kim-Lee Tuxhorn

    (University of Calgary)

  • John W. D'Attoma

    (University of Exeter)

  • Sven Steinmo

    (University of Colorado)

Abstract

Do liberals and conservatives who trust the government have more similar preferences regarding the federal budget than liberals and conservatives who do not? Prior research has shown that the ideological gap over spending increases and tax cuts narrows at high levels of trust in government. We extend this literature by examining whether the dampening effect of trust operates when more difficult budgetary decisions (spending cuts and tax increases) have to be made. Although related, a tax increase demands greater material and ideological sacrifice from individuals than tax cuts. The same logic can be applied to support for spending cuts. We test the trust-as-heuristic hypothesis using measures of revealed budgetary preferences from a population-based survey containing an embedded budget simulation. Our findings show that trusting liberals and conservatives share similar preferences toward spending cuts and tax increases, adding an important empirical addendum to a theory based on sacrificial costs.

Suggested Citation

  • Kim-Lee Tuxhorn & John W. D'Attoma & Sven Steinmo, 2019. "Trust in institutions: Narrowing the ideological gap over the federal budget," Journal of Behavioral Public Administration, Center for Experimental and Behavioral Public Administration, vol. 2(1).
    • Handle: RePEc:bpd:articl:v:2:y:2019:i:1:jbpa.21.47
    DOI: 10.30636/jbpa.21.47
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    References listed on IDEAS

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    Cited by:

    1. Olivier Jacques & David Weisstanner, 2022. "The Micro-Foundations of Permanent Austerity: Income Stagnation and the Decline of Taxability in Advanced Democracies," LIS Working papers 839, LIS Cross-National Data Center in Luxembourg.
    2. Michael J. Nelson & Christopher Witko, 2020. "Government reputational effects of COVID-19 public health actions: A job opportunity evaluation conjoint experiment," Journal of Behavioral Public Administration, Center for Experimental and Behavioral Public Administration, vol. 3(1).
    3. Caroline J. Tolbert & Christopher Witko & Cary Wolbers, 2019. "Public Support for Higher Taxes on the Wealthy: California’s Proposition 30," Politics and Governance, Cogitatio Press, vol. 7(2), pages 351-364.

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    More about this item

    Keywords

    Budget preferences; Budget policy; Tax preferences; Spending preferences; Trust in government; Interactive budget simulation;
    All these keywords.

    JEL classification:

    • D91 - Microeconomics - - Micro-Based Behavioral Economics - - - Role and Effects of Psychological, Emotional, Social, and Cognitive Factors on Decision Making
    • J15 - Labor and Demographic Economics - - Demographic Economics - - - Economics of Minorities, Races, Indigenous Peoples, and Immigrants; Non-labor Discrimination
    • Z00 - Other Special Topics - - General - - - General
    • D90 - Microeconomics - - Micro-Based Behavioral Economics - - - General

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