Question

1.) Explain why economists say that voters are rationally ignorant about politics.

2.) Explain how politicians can use the concept of rational ignorance to their benefit.

Answer 1

1)

Ans: The incentives for voters to be informed are low because the payoff of being informed is low. That is, studying position papers, examining voting histories, and listening to political speeches is sometimes entertaining but it doesn't offer much concrete return. Even when studying changes your vote, your vote is very unlikely to change the outcome of the election. Accordingly, studying politics doesn't pay because the outcome of any election is mostly determined by what other people do, not by what you do

2)

Ans: Consider the example of the sugar quota given in the textbook. When politicians are aware that the cost of a policy such as a quota translates into a minimal cost per consumer, they can enact such a policy and get support from sugar producers in return. The textbook has ample evidence of the contributions made by sugar producers to various politicians