Partisan politics: The empirical evidence from OECD panel studies

• Published in: Journal of Comparative Economics Vol. 45; no. 4; pp. 712 - 750
• Main Author: Potrafke, Niklas
• Format: Journal Article
• Language: English
• Published: Elsevier Inc 01.12.2017
• Subjects: Causal effects; Declining electoral cohesion; Economic policy-making; Government ideology; Panel data models; Partisan politics; Government ideology; Economic policy-making; Declining electoral cohesion; C23; Partisan politics; H00; Panel data models; D72; Causal effects
• ISSN: 0147-5967; 1095-7227
• DOI: 10.1016/j.jce.2016.12.004

•Survey on partisan politics for more than 100 OECD panel studies.•More than 100 panel data studies.•Elaborating on the research designs, the measurement of government ideology, and identification.•Leftwing and rightwing governments pursued different economic policies until the 1990s.•The size and scope of government was larger when leftwing governments were in power.•Partisan politics have not disappeared since the 1990s, but have certainly become less pronounced. This paper describes the empirical evidence on partisan politics in OECD panel studies. I elaborate on the research designs, the measurement of government ideology and why the empirical studies did not derive causal effects. Discussing about 100 panel data studies, the results indicate that leftwing and rightwing governments pursued different economic policies until the 1990s: the size and scope of government was larger when leftwing governments were in power. Partisan politics have not disappeared since the 1990s, but have certainly become less pronounced. In particular, government ideology still seems to influence policies such as privatization and market deregulation. I discuss the consequences of declining electoral cohesion and what future research needs to explore.