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‘Inclusive’ distribution as electoral strategy: The politics of Turkish central government spending under AK Party rule.

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Abstract

A significant body of research has explored how developmental goods and services are allocated following strategic political reasons, beyond normative considerations of efficiency and equity. Most studies of distributive politics assume that politicians always attempt to win support by strategic spending. Even if this is the central tendency, are some expenditure lines disbursed with less apparent favouritism towards particular regions? And, if so, why? We suggest that governments intentionally spare some sectors from selective geographical targeting to convey the appearance of programmatic spending, while safeguarding others to reward supporters or punish opponents. Parties may find it politically advantageous to reserve some sectors for more ‘inclusive’ spending to showcase their governance credentials, especially in policy areas that have garnered high public dissatisfaction and where voters can directly verify if promises have been kept. We analyse central government spending on all budget categories in Turkey’s 81 provinces for 2003-2015, a period when the ruling AK Party gained and consolidated power. Using fixed-effects and instrumental-variable Tobit estimators, we demonstrate that health spending has apparently become more inclusive, while other expenditures reward core strongholds.

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... incumbent party -and if they behaved prospectively, by responding to campaign promises about future government actions -in which case votes would be positively correlated to future actions. While empirical evidence seems to suggest that retrospective and prospective voting are not mutually exclusive (Cammett et al., 2018), most studies in the literature find retrospective voting models more relevant. ...
... Confirming previous research on distributive politics in Turkey, the table shows that voting for the central incumbent party has had a statistically significant and substantial influence over the territorial allocation of public investment and investment subsidies to firms (columns one to four). Furthermore, results are in line with recent models of strategic targeting with alternative distributive goods (Albertus, 2013;Cammett, 2014;Cammett, Luca, & Sergenti, 2018). Diaz-Cayeros et al. (2016), for example, posit that parties machines may target low-spillover (i.e. ...
... Cammett et al. (2018) indeed show how the strategic distribution of public expenditure follows complex patterns. ...
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What are the dynamics of distributive politics in a setting of multiparty competition? Existing studies on the allocation of resources across multiple electoral districts focus primarily on a setting of two-party competition and consider only the core versus swing district hypotheses. This framework does not correspond to the actual electoral setting in many countries and ignores valuable information furnished by a context of multiparty competition. Compared with two-party elections, multiparty elections provide more information about the underlying distribution of the ideological preferences of voters in a district; this information could be utilized by the incumbent party to maximize electoral returns. In this article, I argue that a setting of multiparty competition presents incentives to the incumbent party to channel disproportionately more resources to districts with an ideologically close challenger. Systematic evidence from the Conditional Cash Transfer program spending in 878 districts of Turkey from 2005 to 2008 supports this hypothesis.
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