Citation
Discussion Paper Details
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Full Details
Title: Electoral Competition with Fake News
Author(s): Gene M. Grossman and Elhanan Helpman
Publication Date: December 2019
Keyword(s): Electoral Competition, fake news and policy positions
Programme Area(s): Public Economics
Abstract: Misinformation pervades political competition. We introduce opportunities for political can- didates and their media supporters to spread fake news about the policy environment and perhaps about parties'positions into a familiar model of electoral competition. In the baseline model with full information, the parties'positions converge to those that maximize aggregate welfare. When parties can broadcast fake news to audiences that disproportionately include their partisans, policy divergence and suboptimal outcomes can result. We study a sequence of models that impose progressively tighter constraints on false reporting and characterize situa- tions that lead to divergence and a polarized electorate.
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Bibliographic Reference
Grossman, G and Helpman, E. 2019. 'Electoral Competition with Fake News'. London, Centre for Economic Policy Research. https://cepr.org/active/publications/discussion_papers/dp.php?dpno=14210