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What Does the Public Know about Economic Policy, and How Does It Know It?

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  • Blinder, Alan S.

    (Princeton University)

  • Krueger, Alan B.

    (Princeton University)

Abstract

Public opinion influences politicians, and therefore influences public policy decisions. What are the roles of self-interest, knowledge, and ideology in public opinion formation? And how do people learn about economic issues? Using a new, specially-designed survey, we find that most respondents express a strong desire to be well informed on economic policy issues, and that television is their dominant source of information. On a variety of major policy issues (e.g., taxes, social security, health insurance), ideology is the most important determinant of public opinion, while measures of self-interest are the least important. Knowledge about the economy ranks somewhere in between.

Suggested Citation

  • Blinder, Alan S. & Krueger, Alan B., 2004. "What Does the Public Know about Economic Policy, and How Does It Know It?," IZA Discussion Papers 1324, Institute of Labor Economics (IZA).
    • Handle: RePEc:iza:izadps:dp1324
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    References listed on IDEAS

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    More about this item

    Keywords

    knowledge; public opinion; ideology;
    All these keywords.

    JEL classification:

    • D70 - Microeconomics - - Analysis of Collective Decision-Making - - - General
    • E60 - Macroeconomics and Monetary Economics - - Macroeconomic Policy, Macroeconomic Aspects of Public Finance, and General Outlook - - - General

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