Inclusive voting rules are rules that require the approval of a greater set of policy makers than a simple majority. Using a dynamic voting model with stochastic shocks, we identify a novel distortive effect of inclusive voting rules. Under inclusive voting rules, the identity of the pivotal...

Why do rational politicians choose inefficient policy instruments? Environmental regulation, for example, often takes the form of technology standards and quotas even when cost-effective Pigou taxes are available. To shed light on this puzzle, we present a stochastic game with multiple...

Policy making involves a trade-off between policy responsiveness and policy stability. Little is known, however, about how this trade-off is resolved in representative democracies. Anecdotal evidence suggests that policies not only do not respond efficiently to changing circumstances but also...

Why do rational politicians choose inefficient policy instruments? Environmental regulation, for example, often takes the form of technology standards and quotas even when cost-effective Pigou taxes are available. To shed light on this puzzle, we present a stochastic game with multiple...