scholarly journals Distribution and Redistribution in Postindustrial Democracies

2003 ◽  
Vol 55 (2) ◽  
pp. 193-228 ◽  
Author(s):  
David Bradley ◽  
Evelyne Huber ◽  
Stephanie Moller ◽  
François Nielsen ◽  
John D. Stephens

This article analyzes the processes of distribution and redistribution in postindustrial democracies. The authors combine a pooled time-series data base on welfare state effort and its determinants assembled by Huber, Ragin, and Stephens (1997) with data on income distribution assembled in the Luxembourg Income Survey (IJS) archive. In the case of the LIS data, the authors recalculate the microdata in order to remove the distorting influence of pensioners on pretax, pretransfer income distribution. They examine the determinants of two dependent variables: pretax, pretransfer income inequality and the proportional reduction in inequality from pre- to post—tax and transfer inequality. They test hypotheses derived from power resources theory against alternatives derived from the literature on the development of the welfare state and the determinants of income inequality, The results offer strong support for power resources theory, particularly in the case of reduction in inequality. Union density, unemployment, and percentage of female-headed households were the main determinants of pre—tax and transfer inequality (R2= .64), while leftist government, directly and indirectly through its influence on the size of the welfare state, was found to be by far the strongest determinant of distribution (R2= .81).

1992 ◽  
Vol 86 (2) ◽  
pp. 444-454 ◽  
Author(s):  
Benjamin Radcliff

While the economic voting literature is voluminous, comparatively little attention has been paid to the question of how—or whether—the economy affects turnout. I address this issue by examining national elections in 29 countries. Using time series data, the initial findings are replicated by a case study of American presidential and midterm elections since 1896. It is argued that the effect of economic adversity depends upon the degree of welfare state development. This relationship is argued to be nonlinear, so that mobilization occurs at either extreme while withdrawal obtains in the middle range. The importance to democratic theory, the study of elections, and the politics of welfare policy are discussed.


Author(s):  
Muhammad Shahbaz ◽  
Abu N. M. Wahid ◽  
Rukhsana Kalim

The present paper investigates an answer to a key question “is inflation regressive or progressive?” by utilizing time series data from 1971 up to 2005 with reference to Pakistan. The main focus of the study is on the inflation-inequality puzzle but other control variables are also included in the model that affect income distribution. We have utilized the most advanced technique FMOLS (Fully-Modified Ordinary Least Square) for long run and ECM (Error Correction Model) for short run dynamics. Our findings suggest that inflation is progressive in the case of Pakistan but with low magnitude. There is also a prevalence of a U-shaped relationship between inflation and income inequality in non-linear or non-monotonic phenomenon, but it is insignificant. Per capita income deteriorates income distribution, and seems to provide gains to non-poor individuals in the economy. Remittances as share of GDP, and human capital, also appear to increase income inequality in both periods but large size of the government seems to worsen income distribution in the long run. International trade and income inequality are positively correlated that confirms the existence of Leontief paradox in Pakistan not only in short run, but also in long run. Financial development declines income inequality insignificantly. Inverted U-shaped curve (Lafer-Curve) indicates an association of trade and income inequality in non-linear fashion insignificantly. This effort provides some new insights for policy makers and development planners in Pakistan.   Keywords: Inflation; inequality; fully modifed ordinary least square; Pakistan.  


2017 ◽  
Vol 9 (3) ◽  
pp. 168
Author(s):  
Dobdinga C. Fonchamnyo ◽  
Nubonyin Hilda Fokong

This study aimed at investigating the interrelationship existing between educational gender gap, economic growth and income distribution in Cameroon using time series data from 1970 to 2014 obtained from the World Bank Development indicators and University of Texas inequality project. For estimation, the three stage least square regression technique was employed to estimate the parameters of the system of equations. The econometrics results showed that, educational gender gap had a positive and significant effect on economic growth, while increase in income inequality deters growth in Cameroon. The results also revealed that the theil index of income inequality negatively and significantly affect the educational gender gap, while the proportion of female teachers in the labour force and trade openness had a positive influence on the educational gender gap. Based on the findings, it is recommended that policymakers should focus on socio-economic policies apt to reduce educational gender gap and income inequality and at promoting economic growth.


2016 ◽  
Vol 10 (2) ◽  
pp. 51
Author(s):  
Yadollah Dadgar ◽  
Rohollah Nazari

<p class="Style2">Purpose : Some traditional Iranian micro institutions and also some Shariah micro institutions are working informally along with formal institutions in Iran. This paper is developed to investigate the performance of institutions in question. Although. their shares in whole economy are small, these <strong>Iranian-Islamic </strong>Micro Institutions. IMI. do play their own role on changing the related economic variables, including inequality and income distribution in Iran. A specific purpose of this paper is testing the above relationships. Design/methodology/approach: In this paper firstly, and by using library studies, we explain 3 constituents of IMI. Secondly, and in order to project the impacts of variables in question on the income distribution in Iran, we gather the required data. Sources of our data include central bank of Iran, CBI, Awqaf organization and charity affairs of Iran, AOL and Statistic Centre of Iran. Thirdly, and for statistical analyzing, and statistical inferences, we employ econometric models. Finally we use vector autoregressive method (VAR), to investigate the relationship between variables, based on time series data (for 1974-2009 periods). Findings: The results of this paper show that: 1- the performance of Iranian-Islamic Micro institutions, MI including two Shariah payment subsystems and a traditional Waqf institution, reduce the inequality and improve the distributions of income.2-comparing the impact of IMI with Iranian government size ,the government size worsens the inequality of income. In other word, the bigger the government size the, worse the income inequality, but the more Waqf revenue and Shariah payments, the better income distribution.3-In Iran, these three informal institutions, surprisingly, in some dimensions, compete with formal institutions. Mean while, the deeper the belief of the people, the more efficient the</p>


2000 ◽  
Vol 52 (3) ◽  
pp. 313-349 ◽  
Author(s):  
Torben Iversen ◽  
Thomas R. Cusack

An influential line of argument holds that globalization causes economic uncertainty and spurs popular demands for compensatory welfare state spending. This article argues that the relationship between globalization and welfare state expansion is spurious and that the engine of welfare state expansion since the 1960s has been deindustrialization. Based on cross-sectional-time-series data for fifteen OECD countries, the authors show that there is no relationship between globalization and the level of labor-market risks (in terms of employment and wages), whereas the uncertainty and dislocations caused by deindustrialization have spurred electoral demands for welfare state compensation and risk sharing. Yet, while differential rates of deindustri-alization explain differences in the overall size of the welfare state, its particular character—in terms of the share of direct government provision and the equality of transfer payments—is shaped by government partisanship. The argument has implications for the study and the future of the welfare state that are very different from those suggested in the globalization literature.


2012 ◽  
Vol 17 (6) ◽  
pp. 1198-1226 ◽  
Author(s):  
Luca Bossi ◽  
Gulcin Gumus

In this paper, we set up a three-period stochastic overlapping-generations model to analyze the implications of income inequality and mobility for demand for redistribution and social insurance. We model the size of two different public programs under the welfare state. We investigate bidimensional voting on the tax rates that determine the allocation of government revenues among transfer payments and old-age pensions. We show that the coalitions formed, the resulting political equilibria, and the demand for redistribution crucially depend on the level of income inequality and mobility.


2019 ◽  
Vol 41 (2) ◽  
pp. 337-358 ◽  
Author(s):  
Michael Hüther ◽  
Matthias Diermeier

Abstract Can the rise of populism be explained by the growing chasm between rich and poor? With regard to Germany, such a causal relationship must be rejected. Income distribution in Germany has been very stable since 2005, and people’s knowledge on actual inequality and economic development is limited: inequality and unemployment are massively overestimated. At the same time, a persistently isolationist and xenophobic group with diverse concerns and preferences has emerged within the middle classes of society that riggers support for populist parties. This mood is based on welfare chauvinism against immigration rather than on a general criticism of distribution. Since the immigration of recent years will inevitably affect the relevant indicators concerning distribution, an open, cautious but less heated approach is needed in the debate on the future of the welfare state. In order to address and take the local concerns of citizens seriously, an increased exchange with public officials on the ground is needed.


2009 ◽  
Vol 7 (3) ◽  
pp. 459-484 ◽  
Author(s):  
Leslie McCall ◽  
Lane Kenworthy

Rising income inequality has been a defining trend of the past generation, yet we know little about its impact on social policy formation. We evaluate two dominant views about public opinion on rising inequality: that Americans do not care much about inequality of outcomes, and that a rise in inequality will lead to an increase in demand for government redistribution. Using time series data on views about income inequality and social policy preferences in the 1980s and 1990s from the General Social Survey, we find little support for these views. Instead, Americans do tend to object to inequality and increasingly believe government should act to redress it, but not via traditional redistributive programs. We examine several alternative possibilities and provide a broad analytical framework for reinterpreting social policy preferences in the era of rising inequality. Our evidence suggests that Americans may be unsure or uninformed about how to address rising inequality and thus swayed by contemporaneous debates. However, we also find that Americans favor expanding education spending in response to their increasing concerns about inequality. This suggests that equal opportunity may be more germane than income redistribution to our understanding of the politics of inequality.


2019 ◽  
pp. 1-40
Author(s):  
Jason Beckfield

This chapter provides an overview of the book’s main themes. The book argues that European integration has reorganized class struggle to the European level, entrenching a technocratic capitalism that weakens welfare states and raises income inequality. It asks: How have the fruits of European labor been distributed? Who wins and who loses from European integration? How are citizenship rights and economic fortunes being distributed? The remainder of the chapter discusses trends in welfare-state development and income inequality; current approaches to the welfare state and income inequality; and the turn toward to technocratic capitalism that now characterizes the EU’s policy priorities.


2018 ◽  
Vol 73 ◽  
pp. 10014
Author(s):  
Antono Herry ◽  
Purnomo Adhi ◽  
Firmansyah

This study examines the effect of inequality of public facilities, namely education, health, and road condition, on the income inequality in Central Java Province, Indonesia. By employing the time-series data of 15 years, this study analyzes the Gini index and the relationship between the Gini index and Index of public facilities by the regression model. The study finds that the inequality of the provision of public facilities affects the income distribution in Central Java, Indonesia


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