Political Business Cycles in the OECD Countries: an Initial Analysis

Result code in IS VaVaI
<a href="https://www.isvavai.cz/riv?ss=detail&h=RIV%2F61989100%3A27510%2F16%3A86098348" target="_blank" >RIV/61989100:27510/16:86098348 - isvavai.cz</a>
Result on the web
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DOI - Digital Object Identifier
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Result language
angličtina
Original language name
Political Business Cycles in the OECD Countries: an Initial Analysis
Original language description
Economists of public choice theory state that incumbent politicians tend to use government resources for pre-electoral manipulations. Incumbent politicians have incentives to influence some of the macroeconomic variables (e.g. GDP growth) because they desire to appear competent before the elections. This phenomenon is called the political business cycle. The aim of this paper is to find out if there is a political business cycle in the OECD countries. We take into account our previous research on the political budget cycle and we enlarge our analysis. The dynamic panel linear regression model is used in this article and 34 OECD members are investigated over the period 1995 - 2014. One important result emerges: there is a political business cycle in the OECD countries. An average GDP growth increases regularly about 0.5 percentage points in the time of general elections in these countries.
Czech name
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Czech description
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Publication year
2016
Confidentiality
S - Úplné a pravdivé údaje o projektu nepodléhají ochraně podle zvláštních právních předpisů

Article name in the collection
Proceedings of 14th International Scientific Conference Economic Policy in the European Union Member Countries: September 14-16, 2016, Petrovice u Karviné, Czech Republic. Part 1
ISBN
978-80-7510-210-2
ISSN
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e-ISSN
neuvedeno
Number of pages
11
Pages from-to
274-285
Publisher name
Slezská univerzita v Opavě, Obchodně podnikatelská fakulta v Karviné
Place of publication
Karviná
Event location
Petrovice u Karviné
Event date
Sep 14, 2016
Type of event by nationality
EUR - Evropská akce
UT code for WoS article
000403638200029

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