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Campaigns, Political Mobility, and Communication

  • Hans Gersbach

We present a model of elections in which interest group donations allow candidates to shift policy positions. We show that if donations were prohibited, then a unique equilibrium regarding the platform choices of candidates would exist. Our game with financing of political campaigns exhibits two equilibria, depending on whether a majority of interest groups runs to support the leftist or rightist candidate. The equilibria generate a variety of new features of campaign games and may help identify the objective functions of candidates empirically.

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File URL: http://www.cesifo-group.de/portal/page/portal/DocBase_Content/WP/WP-CESifo_Working_Papers/wp-cesifo-2009/wp-cesifo-2009-10/cesifo1_wp2834.pdf
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Paper provided by CESifo Group Munich in its series CESifo Working Paper Series with number 2834.

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Date of creation: 2009
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Handle: RePEc:ces:ceswps:_2834
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  1. Prat, A., 1998. "Campaign Spending with Office-Seeking Politicians, Rational Voters and Multiple Lobbies," Discussion Paper 1998-123, Tilburg University, Center for Economic Research.
  2. Potters, J.J.M. & Sloof, R., 1996. "Interest groups : A survey of empirical models that try to assess their influence," Other publications TiSEM ff27d5d8-f584-4386-a1fc-5, Tilburg University, School of Economics and Management.
  3. Christian Schultz & Ignacio Ortuno-OrtÍn, 2000. "Public Funding of Political Parties," CESifo Working Paper Series 368, CESifo Group Munich.
  4. McKelvey, Richard D. & Ordeshook, Peter C., 1987. "Elections with limited information: A multidimensional model," Mathematical Social Sciences, Elsevier, vol. 14(1), pages 77-99, August.
  5. Vanberg, Christoph, 2008. ""One Man, One Dollar"? Campaign contribution limits, equal influence, and political communication," Journal of Public Economics, Elsevier, vol. 92(3-4), pages 514-531, April.
  6. Christian Schultz, 2007. "Strategic Campaigns and Redistributive Politics," Economic Journal, Royal Economic Society, vol. 117(522), pages 936-963, 07.
  7. Potters, J.J.M. & Sloof, R. & van Winden, F.A.A.M., 1997. "Campaign expenditures, contributions and direct endorsements. The strategic use of information and money to influence voter behaviour," Other publications TiSEM 347b9f99-149a-4ab3-966f-f, Tilburg University, School of Economics and Management.
  8. Crawford, Vincent P & Sobel, Joel, 1982. "Strategic Information Transmission," Econometrica, Econometric Society, vol. 50(6), pages 1431-51, November.
  9. Stephen Coate, 2004. "Pareto-Improving Campaign Finance Policy," American Economic Review, American Economic Association, vol. 94(3), pages 628-655, June.
  10. Roger Congleton, 1989. "Campaign finances and political platforms: The economics of political controversy," Public Choice, Springer, vol. 62(2), pages 101-118, August.
  11. Grossman, Gene M & Helpman, Elhanan, 1996. "Electoral Competition and Special Interest Politics," Review of Economic Studies, Wiley Blackwell, vol. 63(2), pages 265-86, April.
  12. Thomas Stratmann, 2005. "Some talk: Money in politics. A (partial) review of the literature," Public Choice, Springer, vol. 124(1), pages 135-156, July.
  13. Donald Wittman, 2008. "Targeted political advertising and strategic behavior by uninformed voters," Economics of Governance, Springer, vol. 9(1), pages 87-100, January.
  14. Wittman, Donald, 2005. "Candidate Quality, Pressure Group Endorsements, And The Nature Of Political Advertising," Santa Cruz Department of Economics, Working Paper Series qt2tw043ff, Department of Economics, UC Santa Cruz.
  15. Stephen Coate, 2004. "Political Competition with Campaign Contributions and Informative Advertising," Journal of the European Economic Association, MIT Press, vol. 2(5), pages 772-804, 09.
  16. Gersbach, Hans, 2008. "Contractual Democracy," CEPR Discussion Papers 6763, C.E.P.R. Discussion Papers.
  17. Hans Gersbach, 2004. "The money-burning refinement: With an application to a political signalling game," International Journal of Game Theory, Springer, vol. 33(1), pages 67-87, January.
  18. Bernhardt, M. Daniel & Ingerman, Daniel E., 1985. "Candidate reputations and the `incumbency effect'," Journal of Public Economics, Elsevier, vol. 27(1), pages 47-67, June.
  19. Anderson, Simon P & Glomm, Gerhard, 1992. " Incumbency Effects in Political Campaigns," Public Choice, Springer, vol. 74(2), pages 207-19, September.
  20. Gersbach, Hans, 1998. "Communication skills and competition for donors," European Journal of Political Economy, Elsevier, vol. 14(1), pages 3-18, February.
  21. David Austen-Smith, 1987. "Interest groups, campaign contributions, and probabilistic voting," Public Choice, Springer, vol. 54(2), pages 123-139, January.
  22. Hans Gersbach & Verena Liessem, 2002. "Financing Democracy," CESifo Working Paper Series 821, CESifo Group Munich.
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