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This Note develops a framework for understanding when policymakers should use equity-informed legal rules — rather than taxes — to redistribute. First, policymakers should choose the most efficient way to reduce income inequality, which may involve allocating legal entitlements to the poor,...
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We use a stylized model to show that, if transfers to the poor are founded on a security argument, there is a negative trade-o¤ between law enforcement expenditures and criminality. In contrast, if transfers are based on altruism, the correlation between the same variables may appear positive....
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We use a stylized model to show that, if transfers to the poor are founded on a security argument, there is a negative trade-off between law enforcement expenditures and criminality. In contrast, if transfers are based on altruism, the correlation between the same variables may appear positive....
Persistent link: https://www.econbiz.de/10013428268