Partisan Politics and Fiscal Policy: (Why) are the left perceived as debt-profligate
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In the aftermath of the financial crisis, budget deficits returned to the political agenda. This revived an old question as to whether the partisanship of governing parties affects fiscal policy, where the conventional view is that the left tends toward excessive deficits. Though the existing scholarly evidence provides little support for this view, political rhetoric on the British Labour government’s borrowing, or that of SYRIZA in Greece, or other left parties around Europe, attests to its ongoing power. In this paper we seek to address three questions related to this conventional view.