Richard M. Nixon: Politician, President, Administrator

By Leon Friedman; William F. Levantrosser | Go to book overview

13
President Nixon's Political Business Cycle

ANN MARI MAY AND ROBERT R. KELLER

It is unfortunate that the politics of economics has come to dictate action more than the economics of economics.

Richard M. Nixon1

The political business cycle is a manifestation of the politics of economics dictating action. The quest for reelection, it is argued, may lead politicians to manipulate the economy for political gain. A political business cycle occurs when political manipulation of the economy results in a pattern of "relative austerity in [the] early years" of an incumbent politician's term and a "potlatch right before the election." 2

The evidence on the existence of a persistent presidential political business cycle pattern is mixed. 3 Nevertheless, a number of studies conclude that a political business cycle occurred during President Nixon's first term. 4 In many studies, the existence of a political business cycle from 1969 to 1972 is inferred from a macroeconomic pattern of postelection recession and pre-election prosperity. The problem is that these studies do not "examine whether the government tries to manipulate the economy . . . but whether economic conditions actually do correspond to this pattern." 5 In addition, the recession-prosperity pattern by itself does not explain who manipulated the economy, why the economy was manipulated, or how the economy was manipulated for political gain. Thus, by stressing a recession-prosperity pattern of correlation, much of the literature relies on circumstantial evidence that is too indirect; simple correlation substitutes for investigating causal relationships and explaining the mechanisms that generate a political business cycle.

Our paper presents evidence that uncovers causal relationships and explanations for the postelection slump and the pre-election boom that occurred between 1969 and 1972. The analysis begins by examining monetary and fiscal policy

-221-

Notes for this page

Add a new note
If you are trying to select text to create highlights or citations, remember that you must now click or tap on the first word, and then click or tap on the last word.
One moment ...
Default project is now your active project.
Project items

Items saved from this book

This book has been saved
Highlights (0)
Some of your highlights are legacy items.

Highlights saved before July 30, 2012 will not be displayed on their respective source pages.

You can easily re-create the highlights by opening the book page or article, selecting the text, and clicking “Highlight.”

Citations (0)
Some of your citations are legacy items.

Any citation created before July 30, 2012 will labeled as a “Cited page.” New citations will be saved as cited passages, pages or articles.

We also added the ability to view new citations from your projects or the book or article where you created them.

Notes (0)
Bookmarks (0)

You have no saved items from this book

Project items include:
  • Saved book/article
  • Highlights
  • Quotes/citations
  • Notes
  • Bookmarks
Notes
Cite this page

Cited page

Style
Citations are available only to our active members.
Buy instant access to cite pages or passages in MLA, APA and Chicago citation styles.

(Einhorn, 1992, p. 25)

(Einhorn 25)

1. Lois J. Einhorn, Abraham Lincoln, the Orator: Penetrating the Lincoln Legend (Westport, CT: Greenwood Press, 1992), 25, http://www.questia.com/read/27419298.

Cited page

Bookmark this page
Richard M. Nixon: Politician, President, Administrator
Table of contents

Table of contents

Settings

Settings

Typeface
Text size Smaller Larger Reset View mode
Search within

Search within this book

Look up

Look up a word

  • Dictionary
  • Thesaurus
Please submit a word or phrase above.
Print this page

Print this page

Why can't I print more than one page at a time?

Help
Full screen
/ 424

matching results for page

    Questia reader help

    How to highlight and cite specific passages

    1. Click or tap the first word you want to select.
    2. Click or tap the last word you want to select, and you’ll see everything in between get selected.
    3. You’ll then get a menu of options like creating a highlight or a citation from that passage of text.

    OK, got it!

    Cited passage

    Style
    Citations are available only to our active members.
    Buy instant access to cite pages or passages in MLA, APA and Chicago citation styles.

    "Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences." (Einhorn, 1992, p. 25).

    "Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences." (Einhorn 25)

    "Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences."1

    1. Lois J. Einhorn, Abraham Lincoln, the Orator: Penetrating the Lincoln Legend (Westport, CT: Greenwood Press, 1992), 25, http://www.questia.com/read/27419298.

    Cited passage

    Thanks for trying Questia!

    Please continue trying out our research tools, but please note, full functionality is available only to our active members.

    Your work will be lost once you leave this Web page.

    Buy instant access to save your work.

    Already a member? Log in now.

    Oops!

    An unknown error has occurred. Please click the button below to reload the page. If the problem persists, please try again in a little while.