This paper argues national economic indicators are simplified summaries of localized economic realities that voters process differently.

New Approach: Voter Perception vs National Indicators

The study introduces a novel estimation technique called spatial-X ordered logit to model how voters incorporate and interpret local economic information in forming national perceptions.

Findings: Local Economic Similarities Shape National Views

Our results demonstrate that voters draw on their knowledge of similar local economies when evaluating national data, with media messaging playing a significant role. They show how voter interpretation differs from official aggregation methods.

Why It Matters: Political Representation Implications

The approach offers richer understanding than traditional indicators for topics like economic accountability and spatial diffusion processes in politics.