Agemoglu, Daron; Ticchi, Davide; Vindigni, Andrea - Collegio Carlo Alberto, Università degli Studi di Torino - 2006
attention, however. In this paper, we present a simple theory of the emergence and persistence of inefficient states. The … society consists of rich and poor individuals. The rich are initially in power, but expect to transition to democracy, which …. This enables them to reduce the amount of redistribution and public good provision in democracy. Moreover, the inefficient …