Please use this identifier to cite or link to this item: http://hdl.handle.net/10419/22160
Authors: 
Bjorvatn, Kjetil
Cappelen, Alexander W.
Year of Publication: 
2004
Series/Report no.: 
CeGE discussion paper 33
Abstract: 
The present paper seeks to explain the pattern of income redistribution in a globalised world of increased market income inequality and lower costs of factor mobility. In some countries, larger market income inequality has been met by an increased redistributive effort, thus keeping the distribution of disposable incomes relatively stable. In other countries, larger market inequality has been accompanied by a reduction in transfers, thus leading to growth in disposable income inequality. In our model, the initial level of market income inequality is crucial in explaining how an increase in this variable affects redistribution.
Subjects: 
Globalisation
Inequality
Redistribution
Majority voting
JEL: 
H2
F21
Document Type: 
Working Paper

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