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Torsten Persson is Director of the Institute for International Economic Studies at Stockholm University and Centennial Professor at the London School of Economics. Guido Tabellini is Professor of Economics at Bocconi University in Milan and President of the Innocenzo Gasparini Institute of Economic Research, also at Bocconi University.
Persson and Tabellini's The Economic Effects of Constitutions beautifully complements their earlier Political Economics. This sequel defines and makes serious empirical progress on a broad research agenda for the complex issue of how constitutional statutes (from forms of government to electoral rules) shape policy outcomes (such as the size of the welfare state and the distribution of benefits). Written by two leading contributors to modern political economy, this stimulating and very readable book is essential for all those concerned with and involved in constitutional design. Jean Tirole, IDEI, Toulouse Democracy comes in many different forms - presidential and parliamentary, with elections based on plurality or proportional representation, and so on. Pathbreaking research by Persson and Tabellini has shown that these differences in political constitutions lead to large and systematic differences in economic outcomes. This book consolidates and extends their empirical work. It should be required reading for intellectual leaders in all countries contemplating reforms of their political institutions, and for all political scientists and economists who study such reforms. --Avinash Dixit, Sherrerd University Professor of Economics, Princeton University
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