The Great Hanshin-Awaji (Kobe) earthquake struck Japan in 1995, causing devastating damage to the economic landscape of south-central Japan. The earthquake also caused people to realize the importance of social capital in Japan. Based on a large, individual-level database comprising 488,223...

We illustrate how the desire to live in a fair society that rewards individual effort and hard work triggers an unselfish though rational demand for redistribution. This leads the well off to prefer higher taxes and the poor to reject extreme progressivity. We then provide evidence of these...