On the Efficiency of Partial Information in Elections
42 Pages Posted: 21 Sep 2011 Last revised: 23 Mar 2015
Date Written: June 2013
We study the relation between the electorate's information about candidates' policy platforms during an election, and the subsequent provision of inefficient local public goods by the elected government. More information does not always lead to better outcomes. We show that the equilibrium outcome is efficient if voters are partially uninformed; whereas, if the electorate is very well informed, electoral competition leads candidates to provide inefficient local public goods in all equilibria.
Keywords: Elections, information, inefficiency, pork, local public goods, campaigns.
JEL Classification: D72, D61, D82, H41
Suggested Citation: Suggested Citation