KDI 한국개발연구원 - 경제정책정보 - 국내외연구자료 주제 - 경제일반 - 법·제도 경제 -

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How Effective Are Monetary Incentives to Vote? Evidence from a Nationwide Policy

CEPR 2019.08.08
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We combine two natural experiments, multiple empirical strategies and administrative data to study voters' response to marginal changes to the fi ne for electoral abstention in Peru. A smaller fi ne leads to a robust decrease in voter turnout. However, the drop in turnout caused by a full fi ne reduction is less than 20% the size of that caused by an exemption from compulsory voting, indicating the predominance of the non-monetary incentives provided by the mandate to vote. Additionally, almost 90% of the votes generated by a marginally larger fi ne are blank or invalid, lending support to the hypothesis of rational abstention. Higher demand for information and larger long-run eff ects following an adjustment to the value of the fine point to the existence of informational frictions that limit adaptation to institutional changes.

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