Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/63181 
Authors: 
Year of Publication: 
2003
Series/Report no.: 
Memorandum No. 2003,21
Publisher: 
University of Oslo, Department of Economics, Oslo
Abstract: 
I study the effect of voters with a group-based social conscience. Voters then care more about the well-being of those belonging to their own group than the rest of the population. Within a model of political tax determination, both fractionalization and group antagonism reduce the support for redistribution. Whereas within group inequality increases support for redistribution, inequality between groups has the opposite effect. All these results hold even if a poor group is in majority. Using a panel data set for the US constructed from micro data, I find support for the hypothesis that within race inequality increases and between race inequality decreases redistribution.
Subjects: 
Fractionalization
political economy
inequality
redistribution
race
JEL: 
D31
D72
E62
H20
Document Type: 
Working Paper

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