Inequality, Segregation, and Redistribution.

In a model of endogenous choice of location and endogenous aversion against inequality, we demonstrate that large pre-tax difference in income may lead to a residential segregation of rich and poor. Such segregation may reduce the social attachment between the groups in society, and reduce the willingness of the rich to make transfers to the poor.

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Year of publication:	2000
Authors:	Bjorvatn, K. ; Cappelen, A.W.
Institutions:	Norges Handelshøyskole (NHH)
Subject:	DISTRIBUTION \| INCOME \| TAXES

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Series:	Norwegian School of Economics and Business Administration-.
Type of publication:	Book / Working Paper
Notes:	25 pages
Classification:	D33 - Factor Income Distribution ; H23 - Externalities; Redistributive Effects ; Environmental Taxes and Subsidies
Source:	RePEc - Research Papers in Economics

Persistent link: https://www.econbiz.de/10005672027