Non-discriminatory donation relief and strategic commitment under political competition
Research output: Contribution to journal › Article › peer-review
Colleges, School and Institutes
Tax relief for private donations towards the provision of collective goods can protect minorities from majority-driven outcomes in which tax revenues are exclusively used to finance the provision of public goods that are only valued by the majority. In this paper we show that non-discriminatory tax relief for private donations can arise in political equilibrium as a strategic commitment device aimed at creating and supporting political alliances that would not otherwise be able to coalesce.
|Journal||European Journal of Political Economy|
|Early online date||15 Oct 2018|
|Publication status||E-pub ahead of print - 15 Oct 2018|
- tax relief, private donations, strategic policy commitment