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Does Political Competition Matter for Economic Performance? Evidence from Sub-national Data

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  • Saibal, Ghosh

Abstract

The study utilizes data on major Indian states for 1980-2004 to explore the impact of political competition on state-level income and fiscal variables. The findings suggest that increase in political competition leads to an increase in state per capita income and growth. Focusing on fiscal variables, the analysis indicates that tighter political competition increases economic expenditure.

Suggested Citation

  • Saibal, Ghosh, 2010. "Does Political Competition Matter for Economic Performance? Evidence from Sub-national Data," MPRA Paper 26603, University Library of Munich, Germany.
  • Handle: RePEc:pra:mprapa:26603
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    References listed on IDEAS

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    Cited by:

    1. Dash, Bharatee Bhushan & Mukherjee, Sacchidananda, 2013. "Does Political Competition Influence Human Development? Evidence from the Indian States," Working Papers 13/118, National Institute of Public Finance and Policy.
    2. J Stephen Ferris & Stanley L. Winer & Bernard Grofman, 2016. "The Duverger-Demsetz Perspective on Electoral Competitiveness and Fragmentation: With Application to the Canadian Parliamentary System, 1867-2011," CESifo Working Paper Series 5752, CESifo Group Munich.

    More about this item

    Keywords

    political competition; economic performance; fiscal policy; sub-national; india;

    JEL classification:

    • H72 - Public Economics - - State and Local Government; Intergovernmental Relations - - - State and Local Budget and Expenditures
    • H71 - Public Economics - - State and Local Government; Intergovernmental Relations - - - State and Local Taxation, Subsidies, and Revenue
    • P52 - Economic Systems - - Comparative Economic Systems - - - Comparative Studies of Particular Economies

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