Abstract
Anti-immigrant feeling (xenophobia) among voters was a key factor in the second-place victory of Jean Le Pen's National Front Party in the 2002 French national election. Here, we study the effect of anti-immigrant sentiment on the equilibrium position of political parties on the economic issue, which we take to be the size of the public sector. We model political competition among three parties (Left, Right, and Extreme Right) on a two-dimensional policy space (public sector size, immigration issue) using the PUNE model. We calibrate the model to French data for the election years 1988 and 2002, and show that politics have changed significantly over this period, from being centered primarily on economic issues, to non-economic issues such as immigration and security/law-and-order. We estimate that in 2002, the effect of voter xenophobia was to reduce the voters' choice of public-sector size between 11% and 28% of one standard deviation of the population's distribution of public-sector size ideal points, from what it would have been, absent xenophobia.
Similar content being viewed by others
References
Alesina, A., Glaeser, E., and Sacerdote, B. (2001): “Why Doesn't the US have a European-style Welfare State?” Brookings Papers on Economic Activity (Fall 2001) 187–278.
Austen-Smith, D., and Wallerstein, M. (2003): “Redistribution in a Divided Society”. Northwestern University, Center for Mathematical Studies in Economics and Management Science Working Paper 1362.
P. Coughlin (1992) Probabilistic Voting Theory Cambridge University Press New York
Lee, W., and Roemer, J. E. (2005): “Racism and Distribution in the United States: A Solution to the Problem of Amercian Exceptionalism”. Journal of Public Economics (in press).
A. Lindbeck J. Weibull (1987) ArticleTitleBalanced Budget Redistribution as the Outcome of Political Competition Public Choice 52 273–297 Occurrence Handle10.1007/BF00116710
Ortega, F. (2004a): “Immigration Policy and Skill Upgrading”. Journal of Public Economics (forthcoming).
Ortega, F. (2004b): “Immigration Policy and the Welfare State”, mimeo. New York University.
J. E. Roemer (2001) Political Competition Harvard University Press Cambridge
Roemer, J. E., and Van der Straeten, K. (2004a): “The Political Economy of Xenophobia and Distribution: The Case of Denmark”. Laboratoire d’Econométrie de l’Ecole Polytechnique, Working Paper 2004–03.
Roemer, J. E., and Van der Straeten, K. (2004b): “Xenophobia and Distribution in France: A Politico-Economic Analysis”. Laboratoire d’Econométrie de l’Ecole Polytechnique, Working Paper 2004–022.
Author information
Authors and Affiliations
Corresponding author
Rights and permissions
About this article
Cite this article
Roemer, J.E., Straeten, K.V.d. Xenophobia and the Size of the Public Sector in France: A Politico-economic Analysis. J Econ 86, 95–144 (2005). https://doi.org/10.1007/s00712-005-0142-x
Received:
Revised:
Published:
Issue Date:
DOI: https://doi.org/10.1007/s00712-005-0142-x