Bureaucratic institutional design: the case of the Italian NHS

We propose a model where a regional government’s choice of the number of bureaucratic agencies operating in a region depends upon the degree of substitutability and complementarity of the bureaucratic services being demanded. We show that, if the government perceives the citizens’ demand as a demand for substitutable services, it will choose provision by two independent agencies. If the government perceives the citizens’ demand as a demand for complementary services, it will choose provision by a single consolidated agency. Exogenous shocks to the number of citizens amplify these incentives. Evidence from the Italian National Health Service (NHS) supports this hypothesis. Results show a positive effect of proxies of substitutable services on the number of regional local health authorities and a negative effect of proxies of complementary services. The major immigration amnesties, taken as shocks to the number of citizens entitled to the service, magnify these effects.     

Constitutional political economy,democratic theory and institutional design

Democracy and constitutionalism are both central to the Western political tradition. And yet, constitutional restrictions are often perceived to be in tension with democratic commitments. I argue that the constitutional political economy approach developed by Nobel Laureate James Buchanan resolves the tension between constitutionalism and the values of democratic governance by shifting the analysis from a system-attributes perspective that focuses on the particular institutional properties of a political order to a system-legitimacy perspective that focuses on the manner in which political institutions gain democratic legitimacy. In so doing, the approach reveals that constitutionalism can be understood as a natural expression of democratic values.     

Dynamic estimation of ideal points for the US Congress

Theories of candidate positioning suggest that candidates will respond dynamically to their electoral environment. Because of the difficulty of obtaining “bridge votes”, most existing approaches for estimating the ideal points of members of Congress generate static ideal points or ideal points that move linearly over time. We propose an approach for dynamic ideal point estimation using Project Vote Smart’s National Political Awareness Test to construct bridge votes. We use our dynamic estimates to measure aggregate change, to measure individual-level change, and to study the institutional and structural factors that explain the changing positions of House candidates and members of Congress. We demonstrate that while the Republican Party has been selecting increasingly extreme candidates, Democratic incumbents have become more extreme while in office. We also find that the congruence between elected members of Congress and their constituents is mostly explained by the selection as opposed to the responsiveness of the candidate. Nonetheless, we find evidence of dynamic responsiveness of incumbents in specific circumstances. We find that competitiveness, midterm elections, and sharing the president’s party affiliation are associated with greater responsiveness. Conversely, retirement is not associated with a change in responsiveness. We find no evidence of responsiveness of challengers. Finally, we find that close elections draw challengers who are more in line with the district’s ideology.     

Public debt stabilization: the relevance of policymakers’ time horizons

Policymakers are stuck in time. Political short-termism, policy myopia, policy short-sightedness, and similar words have been coined to emphasize the present-centric policy thinking. Politics tends to produce short time horizons, and as a result, policymakers often fail to use present opportunities to mitigate future harms. Focusing on fiscal and monetary strategic interactions, given different separate decision makers, our paper aims to explore the effects of policymakers’ time horizons on debt stabilization. To formalize our ideas, we use the novel concept of Nonlinear-model-predictive-control Feedback Nash Equilibrium (NFNE) and find that present-centric policy thinking and decision horizons matters under several dimensions.     

Introduction to welfare economics

We show that a transfer received by a minority of the population may be sustained by majority voting, however small the minority targeted may be, when the attribution of the transfer is seen as stochastic by voters. We build a simple model wherein voters differ in income and vote over a proportional tax whose proceeds are distributed lump-sum, and each voter has a probability of receiving the transfer that depends on his income. In progressive steps, we present intuitively appealing sufficient conditions on this probability function for the social program to be supported by majority voting. We also develop intuitive conditions for the emergence of the “paradox of redistribution”, whereby more focused targeting reduces the size of the transfer program chosen by the majority. We finally apply our framework to the French social housing program and obtain that our model is consistent with a majority of French voters supporting a positive size for that program.     

The effect of valence and ideology in campaign conversion: panel evidence from three Spanish general elections

This paper studies changes in voting preferences over election campaigns. Building on the literature on spatial models and valence issues, we study whether (1) ideological distance to political parties, (2) assessments of party competence to handle different policy issues, and (3) voter-updated candidate evaluations are factors that explain shifts in voter choices in the weeks preceding the election. To test our hypotheses, we use data from three survey panels conducted for the 2008, 2011 and 2015 Spanish general elections. Our findings show that valence factors are more influential than ideological indifference to account for campaign conversion.     

Is there a selection bias in roll call votes? Evidence from the European Parliament

We examine the magnitude and significance of selection bias in roll call votes. Prior to 2009, all recorded (roll call) votes in the European Parliament had to be requested explicitly by European Political Groups. Since 2009, a roll call vote has been mandatory on all final legislative votes. We exploit that change in the rules and compare differences between final legislative votes, amendment votes and non-legislative votes before and after 2009, using a difference-in-differences approach with extensive controls. Using data from the Sixth (2004–2009) to Seventh (2009–2014) European Parliaments, we fail to find any large differences in voting cohesion for the main political groups. We find even less significance when we control for changes in parliamentary membership between those two periods. The results suggest that selection biases in the European Parliament associated with strategic choices are negligible.     

Polarized preferences versus polarizing policies

Much of contemporary political debate in the United States focuses on the issue of polarization: specifically, its causal antecedents and its consequences for policymaking and political conflict. In this article, we argue that partisan preference polarization—conventionally defined as the difference in the favored policy positions of legislators from the two major parties—is not a sufficient statistic for potential political conflict in national politics . Rather, a well-defined measure of potential conflict must take into account (1) the locations of status quo policies and proposed alternatives; and (2) the shape of underlying utility functions. We propose measures of the likely contentiousness of a given status quo policy and of a proposal to move that policy. We then demonstrate the usefulness of these measures using estimates of utility function and final passage vote parameters on enacted legislation from the 111th US Senate (2009–2011).     

The ideological nationalization of partisan subconstituencies in the American States

Since the mid-twentieth century, elite political behavior in the United States has become much more nationalized. In Congress, for example, within-party geographic cleavages have declined, roll-call voting has become more one-dimensional, and Democrats and Republicans have diverged along this main dimension of national partisan conflict. The existing literature finds that citizens have only weakly and belatedly mimicked elite trends. We show, however, that a different picture emerges if we focus not on individual citizens, but on the aggregate characteristics of geographic constituencies. Using biennial estimates of the economic, racial, and social policy liberalism of the average Democrat and Republican in each state over the past six decades, we demonstrate a surprisingly close correspondence between mass and elite trends. Specifically, we find that: (1) ideological divergence between Democrats and Republicans has widened dramatically within each domain, just as it has in Congress; (2) ideological variation across senators’ partisan subconstituencies is now explained almost completely by party rather than state, closely tracking trends in the Senate; and (3) economic, racial, and social liberalism have become highly correlated across partisan subconstituencies, just as they have across members of Congress. Overall, our findings contradict the reigning consensus that polarization in Congress has proceeded much more rapidly and extensively than polarization in the mass public.     

In Praise of <Emphasis Type="Italic">The American Political Tradition</Emphasis>

No book is more exemplary in identifying the continuity of democratic statesmanship in the United States than Richard Hofstadter's second book. Its scope is long—from the Framers through the New Deal. The author's insights are brilliant, expressed with literary brio. No other book manages to convey the basic homogeneity of American politics with such persuasiveness, in blending that tradition with the defense of enterprise and property (and in sprinkling the portraits with such acerbic wit). The unifying thread nevertheless needs to be modified in the light of greater sensitivity to the ordeal of race, and in evaluating how the heritage of the New Deal has tempered the commitment to an unbridled capitalism.