IDEAS home Printed from
   My bibliography  Save this paper

“Taking Occam’s Razor to the Endogeneity Problem in Economic Voting”


  • Davis, Brent


Conventional economic voting models are increasingly being challenged by the problem of endogeneity – that is, causality may not run, as they suggest, in one direction from economics to politics. Rather, causality may run in the other direction, from politics to economics, or be bi-directional. While a small, but growing, number of studies are highlighting the endogeneity problem in economic voting models, there is a tendency to identify and then attempt to manage, rather than eliminate, the distortions caused by endogeneity in economic voting models. At least worst, economic voting models which do not deal with endogeneity are vulnerable to producing biased results; at worst, the results may be spurious. Rather than just attempting to manage the endogeneity problem in, this study proposes a strategy to purge it from, economic voting models. However, in doing so, it further brings into question the fulcrum idea of economic voting models, finding instead ‘politics drives economics’ rather than the other way around.

Suggested Citation

  • Davis, Brent, 2017. "“Taking Occam’s Razor to the Endogeneity Problem in Economic Voting”," MPRA Paper 80732, University Library of Munich, Germany.
  • Handle: RePEc:pra:mprapa:80732

    Download full text from publisher

    File URL:
    File Function: original version
    Download Restriction: no

    References listed on IDEAS

    1. Nannestad, Peter & Paldam, Martin, 1994. "The VP-Function: A Survey of the Literature on Vote and Popularity Functions after 25 Years," Public Choice, Springer, vol. 79(3-4), pages 213-245, June.
    2. Gawande, Kishore & Li, Hui, 2009. "Dealing with Weak Instruments: An Application to the Protection for Sale Model," Political Analysis, Cambridge University Press, vol. 17(3), pages 236-260, July.
    3. Brandt, Patrick T. & Freeman, John R., 2009. "Modeling Macro-Political Dynamics," Political Analysis, Cambridge University Press, vol. 17(2), pages 113-142, April.
    4. Hansford, Thomas G. & Gomez, Brad T., 2010. "Estimating the Electoral Effects of Voter Turnout," American Political Science Review, Cambridge University Press, vol. 104(2), pages 268-288, May.
    5. Gerber, Alan S. & Huber, Gregory A., 2009. "Partisanship and Economic Behavior: Do Partisan Differences in Economic Forecasts Predict Real Economic Behavior?," American Political Science Review, Cambridge University Press, vol. 103(3), pages 407-426, August.
    Full references (including those not matched with items on IDEAS)

    More about this item


    politimetric modelling; economic voting; voter behaviour; endogeneity; structural equation modelling;

    JEL classification:

    • C51 - Mathematical and Quantitative Methods - - Econometric Modeling - - - Model Construction and Estimation
    • C54 - Mathematical and Quantitative Methods - - Econometric Modeling - - - Quantitative Policy Modeling
    • D72 - Microeconomics - - Analysis of Collective Decision-Making - - - Political Processes: Rent-seeking, Lobbying, Elections, Legislatures, and Voting Behavior

    NEP fields

    This paper has been announced in the following NEP Reports:


    Access and download statistics


    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:pra:mprapa:80732. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Joachim Winter). General contact details of provider: .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.