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This chapter reviews the theory of the voluntary public and private redistribution of wealth elaborated by economic analysis in the last forty years or so. The central object of the theory is altruistic gift-giving, construed as benevolent voluntary redistribution of income or wealth. The theory...
Persistent link: https://www.econbiz.de/10014023678
Two players in the modeled primitive society independently decide whether or not to arm and fight each other for distributive gains. Wealth and technology levels determine the balance of force and whether the society is in Rousseau's Garden of Eden, the Hobbesian war, or an arms race. Wealth and...
Persistent link: https://www.econbiz.de/10012900776
Current theories of the rule of law argue that public officials respect rights if the citizens are coordinated on an equilibrium in which they collectively resist abuse. Constitutional rules are means to coordinate on this equilibrium. In past and present states, however, constitutional rules...
Persistent link: https://www.econbiz.de/10014220861
Some scholars have argued that the Framers of the U.S. Constitution did not have a common set of views on economics, or that the Constitution, except perhaps in isolated clauses, does not reflect any specific economic views. The principal Framers did, in fact, share a basic set of economic...
Persistent link: https://www.econbiz.de/10014160829
In this paper, I utilize and expand on Douglass North and colleagues’ conceptual framework for understanding ideology to investigate the nature of ideological intervention. I argue that ideological intervention is ultimately about unifying the shared mental models of the individuals being...
Persistent link: https://www.econbiz.de/10013234531
This paper overviews theoretical and empirical contributions that study political borders from an economic perspective. It reviews theories of the number and size of nations focused on the trade-off between economies of scale in public-good provision and heterogeneity of preferences over public...
Persistent link: https://www.econbiz.de/10014264163
We argue that during the crystallization of common and civil law in the 19th century, the optimal degree of discretion in judicial rulemaking, albeit influenced by the comparative advantages of both legislative and judicial rulemaking, was mainly determined by the anti-market biases of the...
Persistent link: https://www.econbiz.de/10014027429
What mechanisms account for the long-run differences in economic development across historical settings? Current scholarship has renewed the argument that institutions are essential for promoting market transactions, industrialization, trade and economic growth. In particular, recent work in...
Persistent link: https://www.econbiz.de/10013089678
Why do inefficient - non-growth enhancing - institutions emerge and persist? This paper develops a simple framework to provide some answers to this question. Political institutions determine the allocation of political power, and economic institutions determine the framework for policy-making...
Persistent link: https://www.econbiz.de/10012734829
To evaluate the relative importance of a culture of cooperation and inclusive political institutions, I divide Europe into 120 km X 120 km grid cells, and I exploit the exogenous variation in both institutions created by medieval history. To illustrate, I document strong first-stage...
Persistent link: https://www.econbiz.de/10014155498