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Summary Parties and Governments in Global Times - Literature, Theories & Mechanisms

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A summary of all relevant information from the “Parties and Governments in Global Times” course.

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Lecture 1
Policy output: policies adopted by government, including goals that policies aim to achieve.
Policy outcome: consequences of policies  might be different from goals intended with policy 
not only driven by policy itself, also external factors influential.

Constraint hypothesis: globalisation  international markets pervade domestic economy 
economic success depends on non-withdrawal of foreign capital & trade relations  competition for
capital  parties lost autonomy  impacts citizens’ perceptions of government’s room to
manoeuvre (directly) or polarisation in party system/policies (indirectly)  lower turnout. Also:
greater exposure to the world economy reduces electoral accountability. Citizens do not longer think
that outcomes are result of government policies, but also global actors responsible  don’t vote for
same party.
 Globalisation of ownership: more mobile/sensitive to changes in government policy  more
powerful constraint on politicians. Withdrawal of foreign capital  economic costs  can
harm voters. Increases with dependence on foreign capital. Stronger effect on turnout.
 Globalisation of trade: policy constraints less sensitive because trade flows are less mobile &
sensitive to government policy & less consequential for domestic economy.
Compensation hypothesis: globalisation  increases demands for social protection  governments
recognise social costs of globalisation  rise in government spending to compensation
globalisation’s losers  elections more salient  higher turnout. More competition among
voters/group leaders with different preferences over compensation  distributional conflict could
stimulate turnout among winners or loser from increased spending  matters which party is in
government. Also: exposure to world markets  extract information about how politicians act 
governments accountable. Adopted policies  economic growth  reward government  vote for
same party.

Convergence hypothesis: economic globalisation  states compete for capital  constrain
governments  national policies converge  uncertain future for independent national policies.
Divergence hypothesis: due to variety of domestic factors (history institutions/partisanship) 
national policy makers room to manoeuvre in global economy. National government control over
outputs/outcomes. Established institutions difficult to change  restrict ability of political actors to
adopt policies. Governments do not want to face consequences for abolishing institutions.

Retrospective voting: voters hold governments accountable for economic performance. Economic
openness alters voters’ perception of politicians’ competence & to what extent they hold politicians
accountable for national economic performance. If citizens believe that globalisation reduces
governments’ influence over economy  less likely to reward/punish politicians for economic
performance. Also: government signals  claiming credit for success & avoiding blame for failure.
Closed economy: difficult to escape blame. Open economy: more actors  no clarity of responsibility
 tool to blame economic performance on factors beyond control.

Critical view:
 Do not discuss what happens on political level  assume that parties are empty shells that
do what global actors want them to do. However: parties want to be re-elected (office-
seeking) & have specific policy preferences (policy-seeking)  adjust their behaviour
accordingly.

,  Assume one-directional relation from citizens to parties. Citizens perceive what is happening
at party level, but they do not examine how parties affect citizens’ behaviour with strategies.
 Citizens perceive constraints, but are there actual constraints?
 Do not examine confounders. Citizens may find other issues important (e.g. immigration).
Median voter theorem: parties motivated to win elections, focus on group of voters that is majority
(ones in the middle). Parties shape policies to attract median voter to win elections. Thus: when
parties take position, they take median voter into account. However: depends on country  in some
country median voter more left/right  median ≠ moderate.
Globalisation hypothesis: globalisation conditions responsiveness. Responsiveness of parties to
preferences of median voter weaker as national economies are more exposed to world markets:
 More actors that parties should take into account besides voters. Attention of parties split
between demands of markets & demands of voters. More actors to satisfy.
 Different preferences: discrepancy in ideological preferences between median voter (left) &
market actors (right)  channelling voter expression becomes more difficult. Thus: position
taking strategies before elections.
Governing experience hypothesis: mechanisms (more actors/different preferences) for experienced
parties. Effect of globalisation on responsiveness different for different parties  more effect for
parties with governing experience. Small/new parties  appeal to narrow segment of electorate 
not responsible for making policy  factors that could influence policy less likely to play role in their
strategies. More salient for parties who have been responsible/in government  proven to be
competent. After position of leadership, party understands need to balance preferences of electorate
with those of other actors. Have to consider long-term effects of policies (responsibility) rather than
short-term voter preferences (responsiveness).
 Issue ownership: parties with experience the ones in charge of their countries opening up to
external markets  their responsibility.

Critical view:
 Do not look at content of policy (political behaviour). Focusses on positions parties take just
before elections (position-taking).
 Economic left-right as main dimension in political competition  may no longer be relevant
for voters to consider.
 Median voter: one dimension? Parties maybe responsive to electorate but not median voter.
 Mechanisms behind the effect of party experience not discussed.


Lecture 2
Conceptualising welfare policies:
 Policy outputs vs. policy outcomes.
 Expenditure (government spending) vs. entitlements (level of protection people get for
different risks in life course  e.g. sickness leave, unemployment benefits, etc.).
o However: citizens do not care how much government spends, they care about how
they will be protected  do not demand increased spending, but increased
protection. Thus: entitlement more important than expenditure. Also: expenditure
outcome variable  spending does not happen because policies change, but
because societal change (more people in need).
 Welfare retrenchment: cutbacks in entitlements vs. institutional changes (arrangement of
welfare system  who protects you). Changes on institutional level do not necessarily mean

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