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Political business cycles 40 years after Nordhaus

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  • Eric Dubois

    () (Université de Paris 1)

Abstract

Abstract The aim of this article is to survey the huge literature that has emerged in the last four decades following Nordhaus’s (Rev Econ Stud 42(2):169–190, 1975) publication on political business cycles (PBCs). I first propose some developments in history of thought to examine the context in which this ground-breaking contribution saw the light of the day. I also present a simplified version of Nordhaus’s model to highlight his key results. I detail some early critiques of this model and the fields of investigations to which they gave birth. I then focus on the institutional context and examine its influence on PBCs, the actual research agenda. Finally, I derive some paths for future research.

Suggested Citation

  • Eric Dubois, 2016. "Political business cycles 40 years after Nordhaus," Public Choice, Springer, vol. 166(1), pages 235-259, January.
  • Handle: RePEc:kap:pubcho:v:166:y:2016:i:1:d:10.1007_s11127-016-0313-z
    DOI: 10.1007/s11127-016-0313-z
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    Cited by:

    1. Antoine Cazals & Pierre Mandon, 2016. "Political Budget Cycles: Manipulation from Leaders or Manipulation from Researchers? Evidence from a Meta-Regression Analysis," Working Papers halshs-01320586, HAL.
    2. repec:kap:pubcho:v:174:y:2018:i:1:d:10.1007_s11127-017-0491-3 is not listed on IDEAS
    3. Potrafke, Niklas, 2017. "Partisan politics: The empirical evidence from OECD panel studies," Journal of Comparative Economics, Elsevier, vol. 45(4), pages 712-750.
    4. P�stor, Lubo� & Veronesi, Pietro, 2017. "Political Cycles and Stock Returns," CEPR Discussion Papers 11864, C.E.P.R. Discussion Papers.
    5. Chortareas, Georgios & Logothetis, Vassilis & Papandreou, Andreas, 2018. "Public Opinion, Elections, and Environmental Fiscal Policy," Cardiff Economics Working Papers E2018/9, Cardiff University, Cardiff Business School, Economics Section.
    6. Toke S. Aidt & Vítor Castro & Rodrigo Martins, 2016. "Shades of red and blue: Political ideology and sustainable development," NIPE Working Papers 8/2016, NIPE - Universidade do Minho.
    7. repec:kap:pubcho:v:175:y:2018:i:3:d:10.1007_s11127-018-0536-2 is not listed on IDEAS
    8. Andrew Q. Philips, 2016. "Seeing the forest through the trees: a meta-analysis of political budget cycles," Public Choice, Springer, vol. 168(3), pages 313-341, September.
    9. Bracco, Emanuele, 2018. "A fine collection: The political budget cycle of traffic enforcement," Economics Letters, Elsevier, vol. 164(C), pages 117-120.
    10. Lasse Aaskoven, 2016. "Fiscal Transparency, Elections and Public Employment: Evidence from the OECD," Economics and Politics, Wiley Blackwell, vol. 28(3), pages 317-341, November.
    11. Achten-Gozdowski, Jennifer, 2018. "Geschichte und Politökonomie deutscher Theatersubventionen
      [History and Political Economy of Public Subsidies for German Theatres and Operas]
      ," MPRA Paper 85087, University Library of Munich, Germany.
    12. Marco Le Moglie & Gilberto Turati, 2018. "Electoral Cycle Bias in the Media Coverage of Corruption News," DISCE - Working Papers del Dipartimento di Economia e Finanza def069, Università Cattolica del Sacro Cuore, Dipartimenti e Istituti di Scienze Economiche (DISCE).
    13. repec:eee:poleco:v:52:y:2018:i:c:p:75-84 is not listed on IDEAS
    14. Antoine CAZALS & Pierre MANDON, 2016. "Political Budget Cycles: Manipulation from Leaders or Manipulation from Researchers? Evidence from a Meta-Regression Analysis," Working Papers 201609, CERDI.

    More about this item

    Keywords

    Political business cycles; Politico-economic cycles; Electoral cycles; Opportunistic cycles; Conditional political business cycles;

    JEL classification:

    • B22 - Schools of Economic Thought and Methodology - - History of Economic Thought since 1925 - - - Macroeconomics
    • D72 - Microeconomics - - Analysis of Collective Decision-Making - - - Political Processes: Rent-seeking, Lobbying, Elections, Legislatures, and Voting Behavior
    • D78 - Microeconomics - - Analysis of Collective Decision-Making - - - Positive Analysis of Policy Formulation and Implementation
    • E32 - Macroeconomics and Monetary Economics - - Prices, Business Fluctuations, and Cycles - - - Business Fluctuations; Cycles

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