Redistribution under proportional representation (Q1762850)

In this paper, the model of spatial pre-electoral and post-electoral competition among two dominant and one entrant party is studied. The equilibrium positions and the policy outcome adopted by a governing coalition are derived in terms of hierarchical equilibrium in redistribution. From the difference in the space where the voters' preferences is defined and the space for redistribution policy platforms, the resulting equilibrium violates the symmetry of the two dominant parties' locations. The policy outcome varies from laisser-faire to a redistributive economy and does not reflect median and middle class voter's preferences. The proofs are based on the assumption of the distribution of voters' ideal points such as monotonicity, continuously differentiability, strictly increasement of the cumulative distribution function and properties of the density function and voter share function.