This paper considers an economy with a public good where a decision must be made both about the level of the public good and the taxation imposed on each citizen (multidimensional policy space). In this context, we derive two interesting results: i) we show that a Nash equilibrium exists under...

In this paper, citizens vote in order to influence the election outcome and in order to signal their unobserved characteristics to others. The model is one of rational voting and generates the following predictions: (i) The paradox of not voting does not arise, because the benefit of voting does...

In this paper we provide a political game where agents decide whether to become legislators or politicians. Legislators determine the political institutions constraining politicians' behavior and politicians compete for gaining the power to make decisions about the level of the public good. We...