Type: Working Paper
Interest groups and government spending in Italy, 1876-1913
Working Paper, CESifo Working Paper, 2009/2722
FIORINO, Nadia, RICCIUTI, Roberto, Interest groups and government spending in Italy, 1876-1913, CESifo Working Paper, 2009/2722 - https://hdl.handle.net/1814/42324
Retrieved from Cadmus, EUI Research Repository
In the last two decades of the XIX century Italy became an industrial country. Historians maintain that this process was affected by the action of some interest groups that pursued both state protection from competition and specific public expenditure programs. Starting from the economic literature of interest groups, this paper attempts to empirically investigate the role of the interest groups in public expenditure decisions in Italy from 1876 to 1913. We argue that a proper indicator of the role of interest groups is their output. The analysis suggests that government spending was sensitive to the preferences of heavy industry rather then those of textile and cereal cultivators. We therefore highlight the role of the political process in setting economic policy at the early stages of Italian development.
Cadmus permanent link: https://hdl.handle.net/1814/42324
Series/Number: CESifo Working Paper; 2009/2722
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