On January 23–4, 1995, the CentER for Economic Research of Tilburg University organized an international conference with the theme “Positive political economy: theory and evidence.” The conference was co-sponsored by the Royal Netherlands Academy of Sciences (KNAW). The aim was to discuss theoretical and empirical aspects of positive political economy among a group of experts from universities, research institutes, central banks, and international organizations. The authors, discussants, and other participants came from both Europe and the United States.

In this volume, an introduction by the editors, the conference papers and comments given by the discussants are published. The outline of this book closely follows the program of the conference. The organization of the conference and the publication of this book were possible only through the efforts of a number of people. In particular, I would like to thank the organizers, Professor Sylvester Eijffinger and Professor Harry Huizinga. Furthermore, I wish to express my gratitude to Mrs Jolanda Schellekens-Bakhuis and Mrs Marja Speekenbrink who constituted the conference secretariat. A special word of appreciation is due to Professor Theo van de Klundert and Professor Harrie Verbon for admirably chairing the sessions. Also, I want to thank Mrs Nicole Hultermans and Mrs Corina Maas for their assistance in compiling the conference volume, and to Marco Hoeberichts for making the index of this book. Of course, the conference benefited from the remarks of all participants.