skip to content

Faculty of Economics

Journal Cover

Aidt, T.S., Castro, V. and Martins, R.

Shades of red and blue: government ideology and sustainable development

Public Choice

Vol. 175(3-4) pp. 1-21 (2018)

Abstract: We study the effect of government ideology on sustainable development, measured as investment in genuine wealth, in a dynamic panel of 79 countries between 1981 and 2013. We find robust and statistically significant evidence that genuine investment grows faster under right-wing governments than under left-wing or center governments. In contrast, we find no indication of opportunistic cycles.

Keywords: Sustainable development, Government ideology, Political cycles, Genuine investment

JEL Codes: C23, D72, I31, O15

Author links: Toke Aidt  

Publisher's Link: https://doi.org/10.1007/s11127-018-0536-2

Open Data link: https://link.springer.com/article/10.1007%2Fs11127-018-0536-2#Sec5



Cambridge Working Paper in Economics Version of Paper: Shades of red and blue: Political ideology and sustainable development, Aidt, T. S., Castro, V. and Martins, R., (2016)

Papers and Publications



Recent Publications


Bhattacharya, D., Dupas, P. and Kanaya, S. Demand and Welfare Analysis in Discrete Choice Models with Social Interactions Review of Economic Studies [2023]

Elliott, M., Golub, B. and Leduc, M. V. Supply Network Formation and Fragility American Economic Review [2022]

Bhattacharya, D. and Komarova, T. Incorporating Social Welfare in Program-Evaluation and Treatment Choice Review of Economics and Statistics, accepted [2024]

Rauh, C. and Valladares-Esteban, A. On the Black-White Gaps in Labor Supply and Earnings over the Lifecycle in the US Review of Economic Dynamics [2023]