TY - JOUR
T1 - Empirics of the median voter hypothesis in Japan
AU - Doi, Takero
PY - 1999/1/1
Y1 - 1999/1/1
N2 - This paper empirically analyses for the first time the median voter hypothesis in Japan as a means of investigating whether or not Japanese prefectural finance reflects the preference of the median voter. The hypothesis is tested by estimating the demand functions of local public goods in each prefecture. As official data on the income of the median voter is unavailable in Japan, respective prefectural data is constructed using official data on income distribution and taxation. Reasonable intuitive interpretation of results indicates that the median voter hypothesis is supported in prefectural finances, and that voter preference affects the outcome of gubernatorial elections, i.e., a governor's reelection probability, by estimating a probit model. When considering the centralized prefectural government system in Japan, these results indicate that central government management of prefectural expenditures via inter-regional grants ultimately reflects jurisdictional median voter preference.
AB - This paper empirically analyses for the first time the median voter hypothesis in Japan as a means of investigating whether or not Japanese prefectural finance reflects the preference of the median voter. The hypothesis is tested by estimating the demand functions of local public goods in each prefecture. As official data on the income of the median voter is unavailable in Japan, respective prefectural data is constructed using official data on income distribution and taxation. Reasonable intuitive interpretation of results indicates that the median voter hypothesis is supported in prefectural finances, and that voter preference affects the outcome of gubernatorial elections, i.e., a governor's reelection probability, by estimating a probit model. When considering the centralized prefectural government system in Japan, these results indicate that central government management of prefectural expenditures via inter-regional grants ultimately reflects jurisdictional median voter preference.
KW - Gubernatorial elections
KW - Japanese prefectural finance
KW - Local public goods
KW - Median voter hypothesis
KW - Probit model
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U2 - 10.1007/s001810050079
DO - 10.1007/s001810050079
M3 - Article
AN - SCOPUS:0033380811
VL - 24
SP - 667
EP - 691
JO - Empirical Economics
JF - Empirical Economics
SN - 0377-7332
IS - 4
ER -