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Who Becomes a Politician?

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Listed:
  • Ernesto Dal Bó
  • Frederico Finan
  • Olle Folke
  • Torsten Persson
  • Johanna Rickne

Abstract

Can a democracy attract competent leaders, while attaining broad representation? Economic models suggest that free-riding incentives and lower opportunity costs give the less competent a comparative advantage at entering political life. Moreover, if elites have more human capital, selecting on competence may lead to uneven representation. This paper examines patterns of political selection among the universe of municipal politicians and national legislators in Sweden, using extraordinarily rich data on competence traits and social background for the entire population. We document four new facts that together characterize an “inclusive meritocracy.” First, politicians are on average significantly smarter and better leaders than the population they represent. Second, this positive selection is present even when conditioning on family (and hence social) background, suggesting that individual competence is key for selection. Third, the representation of social background, whether measured by parental earnings or occupational social class, is remarkably even. Fourth, there is at best a weak tradeoff in selection between competence and social representation, mainly due to strong positive selection of politicians of low (parental) socioeconomic status. A broad implication of these facts is that it is possible for democracy to generate competent and socially-representative leadership.

Suggested Citation

  • Ernesto Dal Bó & Frederico Finan & Olle Folke & Torsten Persson & Johanna Rickne, 2017. "Who Becomes a Politician?," NBER Working Papers 23120, National Bureau of Economic Research, Inc.
  • Handle: RePEc:nbr:nberwo:23120
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    References listed on IDEAS

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    JEL classification:

    • H10 - Public Economics - - Structure and Scope of Government - - - General
    • H70 - Public Economics - - State and Local Government; Intergovernmental Relations - - - General
    • J45 - Labor and Demographic Economics - - Particular Labor Markets - - - Public Sector Labor Markets
    • P16 - Economic Systems - - Capitalist Systems - - - Political Economy of Capitalism

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