Hassler, John; Mora, José V Rodríguez; Storesletten, … - C.E.P.R. Discussion Papers - 2001
voting, where agents vote over income redistribution. The key feature of the theory is that the future constituency of … redistributive policies depends positively on the current level of redistribution, since this affects both private investments and … both private incentives and future voting outcomes. The equilibrium features multiple steady-states, one with and one …