Eguia J., Nicolò A. (2013).

On the Efficiency of Partial Information in Elections.  Available at SSRN (June 2013).

Abstract:

We study the relation between the electorate’s information about candidates’ policy platforms during an election, and the subsequent provision of inefficient local public goods by the elected government. More information does not always lead to better outcomes. We show that the equilibrium outcome is efficient if voters are partially uninformed; whereas, if the electorate is very well informed, electoral competition leads candidates to provide inefficient local public goods in all equilibria.