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The effect of economic conditions on voting for extreme parties
Uppsala University, Disciplinary Domain of Humanities and Social Sciences, Faculty of Social Sciences, Department of Economics.
2016 (English)Independent thesis Advanced level (degree of Master (Two Years)), 20 credits / 30 HE creditsStudent thesis
Abstract [en]

This thesis studies how local economic conditions affect the decisionto vote for an extreme party. I collect Swedish municipal data and constructa panel data set for the years 1998 to 2014. Economic conditionsare measured using municipal unemployment data whereas the vote shareof the Sweden Democrats is the main dependent variable of interest. Theempirical challenge in this study lies in that economic conditions are notrandomly distributed between municipalities and it is therefore hard toprovide causal evidence. This thesis uses a fixed-effects model to mitigatethis issue and identification, thus, comes from variation in unemploymentwithin municipalities over time. Results show that if unemployment increasesby one percentage point the vote share increases between 0.16-0.49percentage points on average for the municipality elections. For the generalnational elections, the results are smaller and an increase of unemploymentwith one percentage point increases the vote share with 0.096-0.20percentage points on average.

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URN: urn:nbn:se:uu:diva-275188OAI: oai:DiVA.org:uu-275188DiVA: diva2:899164
Available from: 2016-02-01 Created: 2016-02-01 Last updated: 2016-02-01Bibliographically approved

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