The Political Economy of State Subsidies in Europe |
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| Authors: | Nikolaos Zahariadis |
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| Institution: | Nikolaos Zahariadis;is associate professor and director of the political science program at the University of Alabama at Birmingham. His interests include comparative public policy and European politics. He is the author of Markets, States and Public Policy (Michigan). His articles have appeared in journals such as International Studies Quarterly, Policy Studies journal, Policy Studies Review, journal of Public Policy, and elsewhere. |
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| Abstract: | In this article, I examine the reasons behind public aid to industry in 12 European countries during the period 199–93. 1 build a model based on societal demands for producer subsidies and the wiliingness and constraints of national governments to provide them. The main contribution of this study is the attention to the institutional context within which demand for and supply of public policy takes place. Institutions not only help shape actor preferences to extract "rents" but also fundamentally condition the level and distribution of subsidies. |
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