In this paper, we revisit the association between happiness and inequality. We argue that the perceived fairness of the income generation process affects this association. Building on a two-period model of individual life-time utility maximization, we predict that persons with higher perceived...

"Ideas about what is "fair" above and beyond the individual's position in the income ladder influence preferences for redistribution. We study the dynamic evolution of different economies in which redistributive policies, perceptions of fairness, inequality and growth are jointly determined. We...

"Wohlstand für alle" - das ist seit Ludwig Erhard das Credo der deutschen Politik. Doch Deutschland ist an seinem Ideal gescheitert: In unserer Marktwirtschaft wird mit gezinkten Karten gespielt. In kaum einem Industrieland herrscht eine so hohe Ungleichheit - in Bezug auf Einkommen, Vermögen...