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Additional incumbent spending really can harm (at least some) incumbents: An analysis of vote share maximization

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  • Dennis Coates

Abstract

The literature on the effects of campaign expenditures on electoral outcomes implicitly suggests that incumbent spending cannot have a negative marginal impact on the incumbent's vote share. Indeed, that literature has spent a great deal of effort finding positive and significant effects of incumbent spending. This paper shows that there are circumstances under which theory predicts zero and even negative impacts of incumbent spending. Estimating equations derived from the theory provide strong support for the base model, though only weak support for the extensions which predict nonpositive marginal products for incumbents. Copyright Kluwer Academic Publishers 1998

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  • Dennis Coates, 1998. "Additional incumbent spending really can harm (at least some) incumbents: An analysis of vote share maximization," Public Choice, Springer, vol. 95(1), pages 63-87, April.
    • Handle: RePEc:kap:pubcho:v:95:y:1998:i:1:p:63-87
    DOI: 10.1023/A:1004915813976
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    1. Levitt, Steven D, 1994. "Using Repeat Challengers to Estimate the Effect of Campaign Spending on Election Outcomes in the U.S. House," Journal of Political Economy, University of Chicago Press, vol. 102(4), pages 777-798, August.
    2. William Welch, 1974. "The economics of campaign funds," Public Choice, Springer, vol. 20(1), pages 83-97, December.
    3. Denzau, Arthur T. & Munger, Michael C., 1986. "Legislators and Interest Groups: How Unorganized Interests Get Represented," American Political Science Review, Cambridge University Press, vol. 80(1), pages 89-106, March.
    4. Jacobson, Gary C., 1978. "The Effects of Campaign Spending in Congressional Elections," American Political Science Review, Cambridge University Press, vol. 72(2), pages 469-491, June.
    5. Lott, John R, Jr, 1991. "Does Additional Campaign Spending Really Hurt Incumbents? The Theoretical Importance of Past Investments in Political Brand Name," Public Choice, Springer, vol. 72(1), pages 87-92, October.
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    Cited by:

    1. Filip Palda, 2002. "Campaign Finance: An Introduction to the Field," Public Economics 0209005, University Library of Munich, Germany.
    2. Paulo Jorge Reis Mourao, 2012. "The Weber-Fechner Law and Public Expenditures Impact to the Win-Margins at Parliamentary Elections," Prague Economic Papers, Prague University of Economics and Business, vol. 2012(3), pages 291-308.
    3. Enrique García Viñuela & Joaquín Artés Caselles, 2008. "Reforming campaign finance in the nineties: a case study of Spain," European Journal of Law and Economics, Springer, vol. 25(3), pages 177-190, June.
    4. Thomas Stratmann, 2003. "Tainted Money? Contribution Limits and the Effectiveness of Campaign Spending," CESifo Working Paper Series 1044, CESifo.
    5. Thomas Stratmann, 2009. "How prices matter in politics: the returns to campaign advertising," Public Choice, Springer, vol. 140(3), pages 357-377, September.
    6. Thomas Stratmann, 2006. "Contribution limits and the effectiveness of campaign spending," Public Choice, Springer, vol. 129(3), pages 461-474, December.

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