Center for the Study of Democracy
Evidence for the Irrationality of Governmental Policy
- Author(s): Brunell, Thomas
- Glazer, Amihai
- et al.
We examine three measures of governmental policy: state gasoline taxes, the federal discount rate, and the prime interest rate (which though set by banks is subject to political influence). All three variables show evidence of irrationality: they are not scale invariant (and thus violate Benford's Law) and show an aversion to use of the number ten.