Political Business Cycles
The 1980 returns exemplify how the state of the economy before a presidential election can affect an incumbent's ability to stay in office. Moreover, at times presidents might attempt to use their fiscal prerogatives to court reluctant constituencies or to win highly contested regions of the country. These two observations, however, do not readily translate into a political theory of business cycles, as some analysts have alleged.
Suggested citation: “Political Business Cycles,” Federal Reserve Bank of Cleveland, Economic Trends, no. 96-10, pp. 11, 10.01.1996.