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National Elections and Policy Induced Business Cycles: A Historical Perspective on the Literature

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The development of the literature on the effect of national elections on economic policy formulations and on the resulting business cycles is analyzed and evaluated. Six distinctly different periods of the development of the literature are characterized. A few important models of policy induced business cycles arising out of the reelection-seeking behavior of policymakers are discussed in more detail. Some thoughts and insights for further research in this area are presented.

Abstract

Ⅰ. Influence of Elections on Economic Policy Formulation

Ⅱ. Distinct Stages of Development in the Literature

Ⅲ. Formulation of Policy and Resulting Business Cycles

Ⅳ. Conclusions and Thoughts for Further Research

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