2020•Lund University Publications Student Papers (Lund University)Requires access

Is there a political business cycle in Sweden

Albin Svensson

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Abstract

This paper investigates if there was an opportunistic politcal cycle in transfers and taxes in Sweden during the period 1982-2019. A regressional model with conditional effects is employed to condition the cycle on performance in an opinion poll and to account for partisan differences. Significant results are found in both transfers and taxes but for taxes, the results come into question due to limitations of the model.

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What this paper is about

This paper investigates if there was an opportunistic politcal cycle in transfers and taxes in Sweden during the period 1982-2019. A regressional model with conditional effects is employed to condition the cycle on performance in an opinion poll and to account for partisan differences. Significant results are found in both transfers and taxes but for taxes, the results come into question due to limitations of the model.

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Available abstract

This paper investigates if there was an opportunistic politcal cycle in transfers and taxes in Sweden during the period 1982-2019. A regressional model with conditional effects is employed to condition the cycle on performance in an opinion poll and to account for partisan differences. Significant results are found in both transfers and taxes but for taxes, the results come into question due to limitations of the model.

Key concepts: Business cycle, Economics, Econometrics, Politics, Demographic economics, Macroeconomics, Political science, Law

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