2011
DOI: 10.1007/s11127-011-9872-1
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Voters’ commitment problem and reforms in welfare programs

Abstract: When will a vote-seeking government pursue unpopular welfare reforms that are likely to cost it votes? Using a game-theoretical model, we show that a government enacts reforms that are unpopular with the median voter during bad economic times, but not during good ones. The key reason is that voters cannot commit to re-elect a government that does not reform during bad times. This voters' commitment problem stems from economic voting, i.e., voters' tendency to punish the government for a poorly performing econo… Show more

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Cited by 7 publications
(4 citation statements)
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“…Another body of empirical work suggests that manipulating perceptions to avoid blame will be easier when the socioeconomic situation is deteriorating (Kuipers 2006;Vis 2010;Hollanders and Vis 2013;van Kersbergen and Vis 2014). Political actors then may convince voters more easily that something needs to be done to turn the tide, like retrenchment (cf.…”
Section: Manipulation Perceptionsmentioning
confidence: 99%
“…Another body of empirical work suggests that manipulating perceptions to avoid blame will be easier when the socioeconomic situation is deteriorating (Kuipers 2006;Vis 2010;Hollanders and Vis 2013;van Kersbergen and Vis 2014). Political actors then may convince voters more easily that something needs to be done to turn the tide, like retrenchment (cf.…”
Section: Manipulation Perceptionsmentioning
confidence: 99%
“…Lastly, socioeconomic pressures, especially financial and economic crises, form another contextual factor which should determine the composition of policy communication in a specific way: economic crises do not only offer a window of opportunity for policy change and for pushing through unpopular reforms (Fernandez, 2012; Hollanders and Vis, 2013; Vis, 2009). Similarly, with regard to the communication of these reforms, crises represent remarkable resources to be employed in their presentation and justification as well.…”
Section: Hypotheses On the Effects Of Contextual Factorsmentioning
confidence: 99%
“…Nobody likes to be cheated, and if the public considers the government to be deceitful because it attempts to hide the true consequences of its policies, punishment might be severe (Fehr & Gächter 2000).This was allegedly what happened to the Danish Social Democratic government in 1998 when it embarked on the retrenchment of early retirement benefits (Andersen 1999, 266-9;2011, 14-16). In this line of argument, only governments with little to lose pursue unpopular reforms (Hollanders & Vis 2012;Vis & van Kersbergen 2007) -a situation we discuss in more detail below.…”
Section: The Classical Strategy: Avoid the Blame!mentioning
confidence: 99%