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In democratic societies with skewed income distributions, simple political economy models predict that the poor will form a coalition to implement high taxes. I review this basic theory and some of its extensions. Then I discuss how we can test the model, and some common pitfalls, before I...
Persistent link: https://www.econbiz.de/10005538919
Consumer choice in social care may worsen quality at the low end of the quality scale. Many social care recipients are not consumer sovereign; they depend on others to safeguard their interests, but their representation may be weak. U.S. and Norwegian data on nursing home patients‘ complaint...
Persistent link: https://www.econbiz.de/10008763988
The notion of renegotiation-proof equilibrium has become a cornerstone in non-cooperative models of international environmental agreements. Applying this solution concept to the infinitely repeated N-person Prisoners' Dilemma generates predictions that contradict intuition as well as...
Persistent link: https://www.econbiz.de/10005538913
In traditional cost-benefit analyses of public projects, every citizen’s willingness to pay for a project is given an equal weight. This is sometimes taken to imply that cost-benefit analysis is a democratic method for making public decisions, as opposed to, for example, political processes...
Persistent link: https://www.econbiz.de/10005738274