Scientific journal paper Q1
Political ideology and fiscal policy in Portugal: Minimal evidence of influence
Paulo Jorge Varela Lopes Dias (Dias, P.); Ricardo Leonardo (Leonardo, R.);
Journal Title
Journal of Economic Policy Reform
Year (definitive publication)
2025
Language
English
Country
United Kingdom
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Abstract
This study investigates the extent to which political ideology shapes fiscal and public spending policies in Portugal between 1990 and 2019. Drawing on seven fiscal and expenditure variables, we apply Cramer’s V Test to examine associations with government ideology. The analysis reveals that 28 of 35 associations are weak or very weak, with only a few moderate links emerging during the sovereign debt crisis. These results indicate that fiscal outcomes are primarily driven by external shocks, institutional frameworks, and international constraints, while political ideology plays only a minimal role in influencing policy directions.
Acknowledgements
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Keywords
Political polarization,Fiscal policy,Public expenditure,Government ideology,Portugal,Cramer’s V Test
  • Economics and Business - Social Sciences