Political Economy, Uncategorized

Officials under the threat of reelection are more likely to conform with the prevailing public opinion but it is also easier for the public to monitor their actions. Constitutions should take the magnitude of these effects into account when prescribing whether the decision making power is allocated to officials who can get re-elected, to those who cannot or to the the public directly(i.e. deciding through a referendum).

Maskin & Tirole (2004) AER

Advertisements