The public choice literature urges the welfare economist to anticipate how political forces will shape the levels of new policy instruments when government intervenes in a new way. This paper argues that the welfare economist should also recognize that new interventions may impact the...

This paper studies the impact of lobbying on political competition and policy outcomes in a framework that integrates the citizen-candidate model of representative democracy with the menu-auction model of lobbying. Positive and normative issues are analysed. On the positive side, lobbying need...