English, Article, Journal or magazine article edition: Budget deficit, size of the public sector and majority voting Jens Peter Siebel

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Bookmark: http://trove.nla.gov.au/version/5197
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  • preprint
Language
  • English

Edition details

Title
  • Budget deficit, size of the public sector and majority voting
Author
  • Jens Peter Siebel
Physical Description
  • preprint
Notes
  • In this paper Tabellini’s and Alesina’s (1990) median voter model for the explanation of budget deficits is modified by endogenizing the private sector. Debt finance is supplemented by taxing a private consumption which serves as an additional source of revenue for funding the public sector. The introduction of the private sector enables us to explain the budget balance as a result of political polarization with a left-wing party and a right-wing party having different preferences for the size of the public sector.
  • budget deficit, public debt, median voter
  • RePEc:sie:siegen:120-05
Language
  • English
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