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  • The Economic Political Cycles in the United States over the Last Fifty Years in Reference to Democratic and Republican Parties

     

    Essays6 Economics

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ID number:528132
 
Evaluation:
Published: 17.11.2003.
Language: English
Level: Secondary school
Literature: n/a
References: Not used
Extract

This paper will study the effects of Presidential regimes from 1959 onwards. It well use the partisan theory and show the correlation between left wing (democratic) parties and low unemployment rates, as well as the correlation between right wing (republican) parties and low inflation rates. This correlation will help show the effects of different presidential regimes on the U.S. economy. I believe that the partisan model will hold true and that during republican presidencies we will see a low or decreasing level of inflation, and during democratic presidencies we will see a low or decreasing level of unemployment In this paper we will analyze the presidential regimes from 1959 onwards, and by using the partisan model, we will show that democratic presidents have a trend towards keeping unemployment low and that republicans have a preference towards keeping inflation low or closer to its natural rate.
Although we do not observe a systematic surge in growth output in election years, this does not imply that economic conditions are not an important determinant of election results. The characteristics of their political cycle depends on the nature of the party system, thus the partisan model will provide a better way of looking at the U.S. political business cycle. …

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