Flaws in the Efficiency Gap

Abstract

We conduct an analysis of the “efficiency gap” using tools from economic theory and find serious flaws in the measure. In particular, we show that the efficiency gap contains an peculiar form of cost benefit analysis which is hard to defend, that the recommendations for the use of the efficiency gap treat large states differently from small states without apparent justification, that its use can increase political polarization, and ignores the possibility of uncertainty in the outcome of elections.

Keywords: Efficiency Gap, Partisan Gerrymandering, Measurement, Cost-Benefit Analysis, Scale Invariance, Polarization

JEL Classification: K16