Introduction
This introductory chapter presents the mechanism of political yardstick competition and provides an overview of the following chapters. The presentation of the mechanism includes indications on its recognition in the 1980s in the context of decentralization and fiscal federalism and comments on the literature that developed since then. Among the comments it is argued in particular that two elements in the contribution of the core research program are in reality disjoint. Only praise is needed about the empirical element, which has exploited in an inventive way the tools of spatial econometrics. However, the theoretical element has been generally developed in a game-theoretic framework dependent on the assumption of a single representative voter. Doing without that framework and assumption is a distinctive feature of the alternative approach adopted in the book. This is necessary above all to increase the plausibility and relevance of yardstick competition, in particular as a latent force constraining policy-making.