When a country experiences a balance of payments problem, the typical remedy mix proposed by the International Monetary Fund consists of fiscal austerity, tight monetary policies, devaluation, privatization, elimination of subsidies and trade liberalization, combined with low interest rate...

This dissertation explores the role of efficiency of redistributive institutions (ERI)on redistribution. The first substantive essay proposes a theoretical model to explain thelack of strong empirical evidence in favor of a positive relationship between incomeinequality and redistribution. This...