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Spend it like Beckham?: inequality and redistribution in the UK, 1983–2004

Georgiadis, Andreas and Manning, Alan (2011) Spend it like Beckham?: inequality and redistribution in the UK, 1983–2004. Public Choice, Online . ISSN 0048-5829

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Abstract

A main activity of the state is to redistribute resources. Standard political economy models predict that a rise in inequality will lead to more redistribution. This paper shows that, for the UK in the period 1983–2004, a plausibly exogenous rise in income inequality has not been associated with increased redistribution. We explore this example of the ‘paradox of redistribution’ using attitudinal data. We show that standard political economy models of the individual demand for redistribution do have explanatory power, but that other attitudes and beliefs are also very important. Moreover, these attitudes and beliefs change quite quickly so are very important in explaining variation in the demand for redistribution.

Item Type: Article
Official URL: http://www.springer.com/economics/public+finance/j...
Additional Information: © 2011 Springer Science+Business Media, LLC
Library of Congress subject classification: H Social Sciences > HC Economic History and Conditions
Journal of Economic Literature Classification System: D - Microeconomics > D7 - Analysis of Collective Decision-Making > D72 - Economic Models of Political Processes: Rent-Seeking, Elections, Legislatures, and Voting Behavior
H - Public Economics > H2 - Taxation, Subsidies, and Revenue > H20 - General
Sets: Departments > Economics
Collections > Economists Online
Research centres and groups > Centre for Economic Performance (CEP)
Rights: http://www.lse.ac.uk/library/usingTheLibrary/academicSupport/OA/depositYourResearch.aspx
Date Deposited: 08 Apr 2011 13:50
URL: http://eprints.lse.ac.uk/35453/

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