Non-discriminatory donation relief and strategic commitment under political competition
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Non-discriminatory donation relief and strategic commitment under political competition. / Giovanniello, Monica A.; Perroni, Carlo; Scharf, Kimberley; Slivinski, Al.
In: European Journal of Political Economy, 15.10.2018.Research output: Contribution to journal › Article › peer-review
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TY - JOUR
T1 - Non-discriminatory donation relief and strategic commitment under political competition
AU - Giovanniello, Monica A.
AU - Perroni, Carlo
AU - Scharf, Kimberley
AU - Slivinski, Al
PY - 2018/10/15
Y1 - 2018/10/15
N2 - 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.
AB - 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.
KW - tax relief
KW - private donations
KW - strategic policy commitment
U2 - 10.1016/j.ejpoleco.2018.10.002
DO - 10.1016/j.ejpoleco.2018.10.002
M3 - Article
JO - European Journal of Political Economy
JF - European Journal of Political Economy
SN - 0176-2680
ER -