Optimal Electoral Timing: Exercise Wisely and You May Live Longer<xref ref-type="fn" rid="FN1">-super-1</xref>

S-Tier
Journal: Review of Economic Studies
Year: 2008
Volume: 75
Issue: 2
Pages: 597-628

Authors (3)

Jussi Keppo (not in RePEc) Lones Smith (University of Wisconsin-Madiso...) Dmitry Davydov (not in RePEc)

Score contribution per author:

2.681 = (α=2.01 / 3 authors) × 4.0x S-tier

α: calibrated so average coauthorship-adjusted count equals average raw count

Abstract

The timing of elections is flexible in many countries. We study this optimization by first creating a Bayesian learning model of a mean-reverting political support process. We then explore optimal electoral timing, modelling it as a renewable American option with interacting waiting and stopping values. Inter alia, we show that the expected longevity is a convex, then concave, function of the support. Finally, we calibrate our model to the post-1945 Labour-Tory U.K. rivalry. Our story quite well explains when the elections were called. We also show that election options approximately double the expected time in power in the current streak. Copyright 2008, Wiley-Blackwell.

Technical Details

RePEc Handle
repec:oup:restud:v:75:y:2008:i:2:p:597-628
Journal Field
General
Author Count
3
Added to Database
2026-01-29