scholarly journals Global evidence on the selfish rich inequality hypothesis

2022 ◽  
Vol 119 (3) ◽  
pp. e2109690119
Author(s):  
Ingvild Almås ◽  
Alexander W. Cappelen ◽  
Erik Ø. Sørensen ◽  
Bertil Tungodden

We report on a study of whether people believe that the rich are richer than the poor because they have been more selfish in life, using data from more than 26,000 individuals in 60 countries. The findings show a strong belief in the selfish rich inequality hypothesis at the global level; in the majority of countries, the mode is to strongly agree with it. However, we also identify important between- and within-country variation. We find that the belief in selfish rich inequality is much stronger in countries with extensive corruption and weak institutions and less strong among people who are higher in the income distribution in their society. Finally, we show that the belief in selfish rich inequality is predictive of people’s policy views on inequality and redistribution: It is significantly positively associated with agreeing that inequality in their country is unfair, and it is significantly positively associated with agreeing that the government should aim to reduce inequality. These relationships are highly significant both across and within countries and robust to including country-level or individual-level controls and using Lasso-selected regressors. Thus, the data provide compelling evidence of people believing that the rich are richer because they have been more selfish in life and perceiving selfish behavior as creating unfair inequality and justifying equalizing policies.

Author(s):  
Ling-Meng Chan ◽  
Chia-Guan Keh ◽  
Siu-Eng Tang ◽  
Yan-Teng Tan ◽  
Ying-Yin Koay

“Tax the rich, subsidise the poor” is deemed one of the typical finance characteristics of democracy and a solution in reducing income inequality. The Malaysian government has also adopted this strategy in its income redistribution policy. Evidently, this strategy can minimise the income gaps at the country level. However, it is doubtful if it can be effectively done at the individual level. The rich have to pay more while the poor can enjoy the ‘free’ income. Would that lead to financial satisfaction? Hence, the main objective of this study was to investigate the impact of individual perceptions on the government’s democratic act in implementing "tax the rich, subsidise the poor" policy for financial satisfaction among Malaysians. For an empirical analysis, this paper discusses the study conducted which used the sixth wave of the World Value Survey (WVS) data with 1290 respondents and is regressed by the ordered logit and ordered probit modelling. The results indicated that the democratic act of ‘taxing the rich and subsidising the poor’ in reality reduces financial satisfaction among Malaysians. In contrast, these same Malaysians wish for a larger income difference as an incentive for individual efforts. In view of this, the government and policy makers should make revisions to the current progressive taxation system or look for other alternative taxation systems which may be seen as fairer and can improve financial satisfaction among Malaysians at each income level.


Author(s):  
Martin Vinæs Larsen

AbstractDoes the importance of the economy change during a government's time in office? Governments arguably become more responsible for current economic conditions as their tenure progresses. This might lead voters to hold experienced governments more accountable for economic conditions. However, voters also accumulate information about governments' competence over time. If voters are Bayesian learners, then this growing stock of information should crowd out the importance of current economic conditions. This article explores these divergent predictions about the relationship between tenure and the economic vote using three datasets. First, using country-level data from a diverse set of elections, the study finds that support for more experienced governments is less dependent on economic growth. Secondly, using individual-level data from sixty election surveys covering ten countries, the article shows that voters' perceptions of the economy have a greater impact on government support when the government is inexperienced. Finally, the article examines a municipal reform in Denmark that assigned some voters to new local incumbents and finds that these voters responded more strongly to the local economy. In conclusion, all three studies point in the same direction: economic voting decreases with time in office.


2018 ◽  
Vol 51 (3) ◽  
pp. 231-244 ◽  
Author(s):  
Maria Popova ◽  
Vincent Post

Do Eastern European courts effectively constrain politicians and uphold the rule of law? Criminal prosecution of grand (high-level) corruption can further the central principle of equal responsibility under the law by demonstrating that even powerful political actors have to submit to the laws of the land. This article introduces the Eastern European Corruption Prosecution Database, which contains entries for all cabinet ministers (927 in total) who served in a government that held office in one of seven post-Communist Eastern European countries since the late 1990s. The systematic data collection reveals that Bulgaria, Romania and Macedonia consistently indict more ministers than Croatia, the Czech Republic, and Poland; Slovakia has barely indicted anyone. We aim to start a research agenda by formulating hypotheses about which countries will see more corruption prosecutions and which ministers’ characteristics would make them more likely to face the court. We use the database to begin testing these hypotheses and find some evidence for several associations. We find no strong evidence that EU conditionality or membership raises the profile of the grand corruption issue or leads to more indictments. Party politics seems to affect the frequency of corruption indictments more than the structure and behavior of legal institutions. Indictment rates are lower when a former Communist party controls the government and individual ministers from junior coalition partners are more vulnerable to indictment than other ministers. The existence of a specialized anti-corruption prosecution or a more independent judiciary do not seem to lead to the indictment of more ministers on corruption charges. Finally, we discuss avenues of future research that our database opens, both for the analysis of country-level and individual-level variation.


2014 ◽  
Vol 2014 ◽  
pp. 1-7 ◽  
Author(s):  
George W. Leeson

The world is ageing at both an individual and population levels and population ageing is truly a global phenomenon, the only notable region of exception being sub-Saharan Africa, which remains relatively young in demographic terms. At an individual level, life expectancies at birth have increased at the global level from 47 years in the mid-20th century to around 70 years today and are expected to rise to 76 years by the mid-21st century. At the population level, the proportion of the world’s population aged 60 years and over has increased from 8 percent in the mid-20th century to 12 percent, and by 2050, it is expected to reach 21 percent. In Europe, ageing has continued at a slower rate, but with the emergence of increasing numbers of centenarians. This paper outlines the transition using data from England and Wales from a demography of young death in the mid-19th century to a demography of survival in the 20th century and on to the new demography of old death in the 21st century. The paper provides evidence that it is likely that ages at death will continue to increase, with more and more people reaching extreme old age. At the same time, it is likely that life expectancies at birth will continue to rise, taking life expectancy at birth in England and Wales to 100 years or more by the end of the 21st century. The new 21st century demography of death will lead to annual numbers of deaths far in excess of previous maxima.


2019 ◽  
Vol 8 (10) ◽  
pp. 283
Author(s):  
Milla Salin ◽  
Jouko Nätti

This study examines underemployment of working mothers in 22 European countries. Underemployed mothers are defined as those who wish to work longer hours than they are currently working. Compared to unemployment and employment in general, the research tradition of underemployment is less established. This article contributes to the existing knowledge on underemployment in two ways. First, it focuses on a specific group of workers: mothers. Secondly, while the vast majority of earlier studies has concentrated on single countries, this study is cross-national. Using data from the 2010/2011 European Social Survey (ESS), a multilevel analysis provides three major findings. First, underemployment exists in all countries examined, but the prevalence varies significantly. Second, the prevalence and depth (i.e., how large is the gap between preferred and current working hours) of underemployment are not necessarily correlated; a high prevalence can be accompanied by shallower underemployment and vice versa. Third, at the individual-level, underemployment particularly hurts mothers who are in a more insecure position in terms of their economic and labor market situation. At the country level, underemployment is related to a poorer economic situation and less-extensive childcare system.


2018 ◽  
Vol 46 (9) ◽  
pp. 1561-1572 ◽  
Author(s):  
Runxi Zeng ◽  
Yanchao Chen ◽  
Huajun Li

We examined which factors promote Chinese citizens' participation in collective action at the individual level. Using data from the 2010 China General Social Survey, we applied logistic regression analysis to explore the relationships between unfair experience, interests involved, political efficacy, and the likelihood of participation in collective action. Results showed that people who have experienced unfair treatment from the government are more likely than other people are to participate in collective action. If people think that collective action is closely related to their own interests, they are more likely to participate than are those who do not think so. Also, people with high internal political efficacy are more likely to participate in collective action than are those with low internal political efficacy. Theoretical and practical implications are discussed.


Author(s):  
Horst Feldmann

AbstractUsing data on 48 countries, this paper finds that people in economically freer countries care more about education. This is probably mainly because economic freedom enables them and their children to achieve higher returns to education. The magnitude of the estimated effect is substantial. The paper combines individual-level data from the World Values Survey with country-level data on economic freedom and other relevant factors. It controls for all relevant characteristics of survey respondents as well as for potentially confounding country-level characteristics. It also addresses potential endogeneity of economic freedom.


2017 ◽  
Vol 25 ◽  
pp. 14
Author(s):  
Mai Beilmann ◽  
Laur Lilleoja

The article is dedicated to explaining why value similarity fosters generalised social trust in high-trust societies. Previous findings by Beilmann and Lilleoja suggest that value similarity is more important in generating individual-level social trust in countries where the overall levels of social trust are higher, while in countries with a low level of social trust, congruity of the personal value structure with the country-level value structure tends to be coupled with lower trustfulness on the part of individuals. The article explores the meso-level indicators that could explain this relationship. The relationship between social trust and human values was examined in a sample of 2,051 people in Estonia, using data from the European Social Survey, round 7. The results suggest that when differences in socio-economic factors are controlled for, value similarity remains a significant factor in fostering generalised social trust in Estonian society. However, its direct effect is relatively low when compared with predictors such as trust in certain institutions, economic well-being, and ethnicity. Trust in the legal system and the police plays a particularly important role in fostering generalised social trust in a high-trust society wherein people believe that other people in general treat them honestly and kindly.


2022 ◽  
Vol 14 (1) ◽  
pp. 29-44
Author(s):  
Setiadi Alim Lim

In response to the decline in tax revenue due to the Covid-19 pandemic, the government has issued a regulation to collect a new tax, namely the Carbon Tax through Law Number 7 of 2021 concerning Harmonization of Tax Regulations. Because this Carbon Tax is being implemented for the first time in Indonesia and its calculation is also not simple, it is estimated that the successful collection of it will take a long time. Whereas the need to explore new sources of tax revenue is needed at this time in the short term to cope with sharply increasing expenditures in order to overcome the medical and social impacts of the Covid-19 pandemic. The government could consider implementing a Wealth Tax in addition to existing taxes including the Carbon Tax. Wealth Tax in addition to increasing tax revenues can also be used as a means of redistribution of wealth in order to reduce the wide gap between the rich and the poor. The proposed Wealth Tax is a Wealth Tax that is levied only once, intended for individuals, with a threshold as well as Non-Taxable Wealth (NTW) of Rp21,000,000,000.00 for unmarried taxpayers and Rp22,500,000,000.00 for marriage taxpayers, using progressive rates of 0.2%, 0.4%, 0.6%, and 0.75%, and can be repaid in installments for 5 years. The basis for imposition of Wealth Tax is net assets, namely the total assets minus the total liabilities reported in the Annual Income Tax Return (SPT) of the previous year's individual taxpayers minus the Non-Taxable Wealth (NTW). Using data on the wealth of the Indonesian population in 2018, it is estimated that thecollection of this Wealth Tax can generate additional tax revenues of around 0.83% of the Gross Domestic Product in 2020.


2021 ◽  
Vol 28 (1) ◽  
pp. 47
Author(s):  
Luis Fernandez-Barutell

This study examined the association between the socioeconomic context of the Eurozone countries in the post-Great Recession era and attitudes of solidarity towards immigrants among the general population. A multilevel analysis was conducted using data from Round 8 (2016) of the European Social Survey as well as Eurostat and OECD statistics. Specifically, we assessed the link between the share of people at risk of poverty/social exclusion in 2016 and citizens´ support for excluding immigrants from the rights to social services. Our results, in agreement with theories explaining that anxiety over-scarcity compromises out-group solidarity, confirmed the existence of such a relationship. Additional findings, however, suggested that some factors, such as holding individual-level universalism values, or the persistence of hardship during the recession recovery period (2011-2016) at country-level, may have had a protective role against chauvinistic attitudes. Recommendations for practice and research are discussed.


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