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ELECTORAL COMPETITION WITH PRIVATELY INFORMED CANDIDATES
Category: Economic Theory
Voting I Monday 26th August 2002, 09:30 - 11:00, Room: 5.6
Session Chair(s):
Joćo Amaro de Matos, Universidade Nova de Lisboa, PORTUGAL
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Abstract:
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We consider a model of elections in which two office-motivated
candidates are uncertain about the location of the median voter's
ideal point, and in which candidates receive private signals about
the location of the median prior to taking policy positions.
Assuming signal spaces are finite, we show that there is at most
one pure strategy equilibrium and give a sharp characterization,
if one exists: after receiving a signal, each candidate locates at
the median of the distribution of the median voter, conditional on
the other candidate receiving the same signal. A
candidate's position, conditional on his/her signal, is therefore
a biased estimate of the true median, with candidate positions
tending to the extremes of the policy space. We give sufficient
conditions for existence of pure strategy equilibria. We characterize mixed strategy
equilibria in a special case of the model.
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Find this file in the \Papers\1098\ folder of this CD-ROM.
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