How does a redistribution of trade gains affect welfare when income inequality matters? To answer this question, we … extend the [1] model to unionized labor markets and heterogeneous workers. As redistribution schemes, we consider … redistribution scheme is to finance unemployment benefits by a wage tax. …

inequality and redistribution. Not surprisingly, the effective level of redistribution (after tax-and-transfer inequality) is … objective dimension of inequality and redistribution are, at least partially, linked with individuals' political preferences and … their voting behavior. The association between objective and subjective measures of inequality and redistribution vanishes …

redistribution mechanism of incomes. Sinn (1995) has developed a normative theory of the welfare state in this view. On a …

The debate on whether democracy and inequality increase the level of redistribution in a country is still ongoing. We … construct a model that predicts a higher probability of redistribution in democracies than in autocracies. Further, with higher … initial inequality, there should be more redistribution in democracies but not necessarily in autocracies. We test these …