Abhatoo - Centre Nationale de Documentation

This dissertation investigates political market failures in developing countries. We deal with the idea that elections, the core institution of democracy, can’t fully perform their functions in developing countries. This thesis revolves around four essays. Chapter 1 offers a critical review of the literature highlighting the mechanisms though witch political market imperfections undermine the role of elections in guaranteeing accountable and responsive governments. Chapter 2 moves beyond traditional political budget cycles models to shed light on changes in the allocation of public expenditures in pre-electoral periods. Results suggest that incumbents manipulate the allocation of public expenditures for electoral purposes increasing current expenditures at the expense of capital spending. Chapter 3 deals with the effect of mass media on national voter turnout. Estimations suggest that media penetration, measured by radio ownership, as well as media freedom are positively associated with electoral participation. The last chapter investigates whether foreign aid affects re-election probabilities of political leaders in recipient countries. It reveals that aid flows have a positive and significant impact on the incumbent’s probability of re-election.