We study a demand-driven growth and distribution model with a public sector, both without and with government debt. Government spending is used to finance the accumulation of public capital and to pay wages to public employees. The interaction between public capital and induced technical change...

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...

The literature shows that when a society believes that wealth is determined by random "luck" rather than by merit, it demands more redistribution. Adverse shocks, like earthquakes, strengthen the belief that random "bad luck" can frustrate the outcomes achieved with merit. We theoretically...

Machine generated contents note: 1. Analytical Political Economy (Roberto Veneziani and Luca Zamparelli) 2. Taking Stock: A Rigorous Modelling Of Animal Spirits In Macroeconomics (Reiner Franke and Frank Westerhoff) 3. The Agent-Based Approach To Post Keynesian Macro-Modeling (Corrado Di Guilmi)...