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The Importance of Direct Democracy Tools for the Quality of Political Competition at the National and Local Levels

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  • Petr Chmelík

Abstract

Quality of political competition is the essential answer to the question of how people´s wishes can be represented and coordinated in the public sphere in the most effective way. The paper defines the forms of political competition on political markets and shows referenda and initiatives as means to stabilize political business cycles and to break politicians´ coalitions against the voters by destroying their monopoly on agenda setting and decision-making and by shrinking the informational advantage of the "classe politique" and well-organized interest groups. The mentioned positive effects on the quality of political competition can be demonstrated at both the national and local levels.

Suggested Citation

  • Petr Chmelík, 2009. "The Importance of Direct Democracy Tools for the Quality of Political Competition at the National and Local Levels," Acta Oeconomica Pragensia, University of Economics, Prague, vol. 2009(5), pages 70-88.
  • Handle: RePEc:prg:jnlaop:v:2009:y:2009:i:5:id:284:p:70-88
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    References listed on IDEAS

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    1. repec:cup:apsrev:v:71:y:1977:i:04:p:1467-1487_26 is not listed on IDEAS
    2. Tollison, Robert D, 1982. "Rent Seeking: A Survey," Kyklos, Wiley Blackwell, vol. 35(4), pages 575-602.
    3. Anthony Downs, 1957. "An Economic Theory of Political Action in a Democracy," Journal of Political Economy, University of Chicago Press, vol. 65, pages 135-135.
    4. Persson, Torsten & Tabellini, Guido, 1993. "Designing institutions for monetary stability," Carnegie-Rochester Conference Series on Public Policy, Elsevier, vol. 39(1), pages 53-84, December.
    5. William D. Nordhaus, 1975. "The Political Business Cycle," Review of Economic Studies, Oxford University Press, vol. 42(2), pages 169-190.
    6. Pommerehne, Werner W., 1978. "Institutional approaches to public expenditure : Empirical evidence from Swiss municipalities," Journal of Public Economics, Elsevier, vol. 9(2), pages 255-280, April.
    Full references (including those not matched with items on IDEAS)

    More about this item

    Keywords

    economic policy; direct democracy; Political-business cycle; Rent seeking behaviour;

    JEL classification:

    • H - Public Economics

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