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Does the size of the legislature affect the size of government? Evidence from two natural experiments

  • Pettersson-Lidbom, Per

This paper makes use of regression discontinuity designs to estimate the effect of the number of legislators on the size of government. The results indicate a negative effect, i.e., the larger the size of the legislature the smaller is the size of government. This runs counter to conventional wisdom. One potential explanation is that more legislators can better control a budget maximizing bureaucracy. I present evidence that is consistent with the proposed mechanism.

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File URL: http://www.sciencedirect.com/science/article/pii/S0047272711001319
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Article provided by Elsevier in its journal Journal of Public Economics.

Volume (Year): 96 (2012)
Issue (Month): 3 ()
Pages: 269-278

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Handle: RePEc:eee:pubeco:v:96:y:2012:i:3:p:269-278
Contact details of provider: Web page: http://www.elsevier.com/locate/inca/505578

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  12. Pettersson Lidbom, Per, 2003. "Does the Size of the Legislature Affect the Size of Government? Evidence from a Natural Experiment," Research Papers in Economics 2003:18, Stockholm University, Department of Economics.
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  24. Bruhn, Miriam & McKenzie, David, 2008. "In pursuit of balance : randomization in practice in development field experiments," Policy Research Working Paper Series 4752, The World Bank.
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