Money and Politics: The Effects of Campaign Spending Limits on Political Entry and Competition

• 成果类型: Article
• 署名作者: Avis, Eric; Ferraz, Claudio; Finan, Frederico; Varjao, Carlos
• 署名单位: Universite de Montreal; HEC Montreal; University of British Columbia; Pontificia Universidade Catolica do Rio de Janeiro; National Bureau of Economic Research; University of California System; University of California Berkeley; Amazon.com
• 刊物名称: AMERICAN ECONOMIC JOURNAL-APPLIED ECONOMICS
• ISSN/ISSBN: 1945-7782
• DOI: 10.1257/app.20200296
• 发表日期: 2022
• 页码: 167-+
• 关键词: election outcomes; finance; POLICY; MODEL

摘要

This paper studies the effects of campaign spending limits on the political entry, selection, and behavior of local politicians in Brazil. We analyze a reform that limits campaign spending for mayoral elections. The limits were implemented with a discontinuity that we exploit for causal identification. We find that stricter limits reduce reelection rates and increase political competition by attracting more candidates who are also less wealthy and rely less on self-financing. Despite their effects on electoral outcomes, stricter limits did not lead to significant short-run improvements in policy outcomes, such as in education and health. (JEL D72, O17)