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The Price of Political Opposition: Evidence from Venezuela's Maisanta

Author

Listed:
  • Chang-Tai Hsieh
  • Edward Miguel
  • Daniel Ortega
  • Francisco Rodriguez

Abstract

In 2004, the Chávez regime in Venezuela distributed the list of several million voters whom had attempted to remove him from office throughout the government bureaucracy, allegedly to identify and punish these voters. We match the list of petition signers distributed by the government to household survey respondents to measure the economic effects of being identified as a Chavez political opponent. We find that voters who were identified as Chavez opponents experienced a 5 percent drop in earnings and a 1.5 percentage point drop in employment rates after the voter list was released. A back-of-the-envelope calculation suggests that the loss aggregate TFP from the misallocation of workers across jobs was substantial, on the order of 3 percent of GDP.

Suggested Citation

  • Chang-Tai Hsieh & Edward Miguel & Daniel Ortega & Francisco Rodriguez, 2009. "The Price of Political Opposition: Evidence from Venezuela's Maisanta," NBER Working Papers 14923, National Bureau of Economic Research, Inc.
  • Handle: RePEc:nbr:nberwo:14923
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    References listed on IDEAS

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    Citations

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    Cited by:

    1. Gilles Saint‐Paul & Davide Ticchi & Andrea Vindigni, 2016. "A Theory of Political Entrenchment," Economic Journal, Royal Economic Society, vol. 126(593), pages 1238-1263, June.
    2. repec:cup:jechis:v:78:y:2018:i:01:p:1-39_00 is not listed on IDEAS
    3. Maurer, Stephan E., 2018. "Voting Behavior and Public Employment in Nazi Germany," The Journal of Economic History, Cambridge University Press, vol. 78(01), pages 1-39, March.
    4. Gonzalez, Naihobe & Oyelere, Ruth Uwaifo, 2011. "Are returns to education on the decline in Venezuela and does Mission Sucre have a role to play?," Economics of Education Review, Elsevier, vol. 30(6), pages 1348-1369.
    5. Auriol, Emmanuelle & Straub, Stéphane & Flochel, Thomas, 2016. "Public Procurement and Rent-Seeking: The Case of Paraguay," World Development, Elsevier, vol. 77(C), pages 395-407.
    6. Muhammad Haseeb & Kate Vyborny, 2016. "Imposing institutions: Evidence from cash transfer reform in Pakistan," CSAE Working Paper Series 2016-36, Centre for the Study of African Economies, University of Oxford.
    7. McGuirk,Eoin & Rajaram,Anand & Giugale,Marcelo, 2016. "The political economy of direct dividend transfers in resource-rich countries : a theoretical consideration," Policy Research Working Paper Series 7575, The World Bank.
    8. Brian Knight & Ana Tribin, 2016. "The Limits of Propaganda: Evidence from Chavez's Venezuela," NBER Working Papers 22055, National Bureau of Economic Research, Inc.
    9. Martínez, Luis R., 2017. "Transnational insurgents: Evidence from Colombia's FARC at the border with Chávez's Venezuela," Journal of Development Economics, Elsevier, vol. 126(C), pages 138-153.
    10. Eva Meyersson Milgrom, 2010. "The Dispossessed: A Labor-Market Analysis of Extreme Political Violence," Discussion Papers 09-007, Stanford Institute for Economic Policy Research.
    11. Sam Asher & Paul Novosad, 2017. "Politics and Local Economic Growth: Evidence from India," American Economic Journal: Applied Economics, American Economic Association, vol. 9(1), pages 229-273, January.

    More about this item

    JEL classification:

    • N16 - Economic History - - Macroeconomics and Monetary Economics; Industrial Structure; Growth; Fluctuations - - - Latin America; Caribbean
    • O0 - Economic Development, Innovation, Technological Change, and Growth - - General

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