Table 1 Government fractionalization and...

Table 1

Government fractionalization and expansionary fiscal policy (OECD, 1980–2011)

	Model 1.1	Model 1.2
DV	The Expansionary	The Expansionary
ImportFD	−0.881*	−0.997**
ImportFD	(0.368)	(0.368)
ImportFDGov.Frac*	0.019*	0.021**
ImportFDGov.Frac*	(0.008)	(0.008)
Gov.Frac	−0.003	0.004
Gov.Frac	(0.012)	(0.012)
Partisanship	−0.063	0.143
Partisanship	(0.227)	(0.218)
Years (in office)	−0.033	−0.028
Years (in office)	(0.043)	(0.041)
Undivided Gov’t	−0.204	−0.123
Undivided Gov’t	(0.275)	(0.261)
UnemploymentFD	0.531**	0.569**
UnemploymentFD	(0.143)	(0.146)
InflationFD	0.101*	0.115*
InflationFD	(0.047)	(0.047)
Import_1	−0.008	−0.010
Import_1	(0.008)	(0.008)
ExportFD	−0.167*	−0.095
ExportFD	(0.072)	(0.077)
FDIFD	−0.002	−0.014
FDIFD	(0.024)	(0.023)
LnGDPPCFD	10.32	2.99
LnGDPPCFD	(6.54)	(6.42)
Growth_1	−0.051	−0.107*
Growth_1	(0.057)	(0.054)
DebtFD	−0.008	−0.012
DebtFD	(0.009)	(0.009)
Constant	−0.225	−0.495
Constant	(0.678)	(0.676)
N	546	527
χ²	53.14**	48.26**
Number of Countries	24	24

	Model 1.1	Model 1.2
DV	The Expansionary	The Expansionary
ImportFD	−0.881*	−0.997**
ImportFD	(0.368)	(0.368)
ImportFD*Gov.Frac	0.019*	0.021**
ImportFD*Gov.Frac	(0.008)	(0.008)
Gov.Frac	−0.003	0.004
Gov.Frac	(0.012)	(0.012)
Partisanship	−0.063	0.143
Partisanship	(0.227)	(0.218)
Years (in office)	−0.033	−0.028
Years (in office)	(0.043)	(0.041)
Undivided Gov’t	−0.204	−0.123
Undivided Gov’t	(0.275)	(0.261)
UnemploymentFD	0.531**	0.569**
UnemploymentFD	(0.143)	(0.146)
InflationFD	0.101*	0.115*
InflationFD	(0.047)	(0.047)
Import_1	−0.008	−0.010
Import_1	(0.008)	(0.008)
ExportFD	−0.167*	−0.095
ExportFD	(0.072)	(0.077)
FDIFD	−0.002	−0.014
FDIFD	(0.024)	(0.023)
LnGDPPCFD	10.32	2.99
LnGDPPCFD	(6.54)	(6.42)
Growth_1	−0.051	−0.107*
Growth_1	(0.057)	(0.054)
DebtFD	−0.008	−0.012
DebtFD	(0.009)	(0.009)
Constant	−0.225	−0.495
Constant	(0.678)	(0.676)
N	546	527
χ²	53.14**	48.26**
Number of Countries	24	24

Note(s): Logit estimates of the Expansionary. Compensation spending is measured as a percentage of the GDP in Model 1.1 and as a percentage of total government spending in Model 1.2. Country-random effects. p-values: **p < 0.01, *p < 0.05. Two-tailed tests

Source(s): Table by authors

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