inequality, and polarization in policy preferences. The main innovation lays in the political process determining capital … speaking reflecting inequality) has somewhat interesting effects along the transitional path towards balanced growth. Hereby …

a two-party system in which the left-wing party has a larger preference for redistribution than the right-wing party … government has incentives to fi- nance redistribution via external debt to avoid distortionary income taxation. On the other hand …

inequality induces more government redistribution; (2) more government redistribution is financed by higher distortionary … inequality-growth transmission channel they propose, must therefore be assessed as overly simplistic and inadequate with respect …

We assess the effects of U.S. tax policy reforms on inequality by applying a new decomposition method allowing us to … inequality by increasing the income share of the top 20% in contrast to the middle class' share. The tax policy effect accounts … for up to 29% of the total change in inequality; its contribution increases up to 41% if we take into account behavioral …

inequality generated in the market? In order to answer these questions, we need to be equipped with adequate measures of … redistribution. Current measures employed in the sociology and politics of redistribution are seriously flawed. This paper elaborates … redistribution as a micro-level income mobility process, and develops an index to measure it. Using data from the Luxembourg Income …

model with pollution as an aggregate externality. The decisive voter chooses redistribution contributing to abatement …, efficiency and growth. We find that left regimes, choosing more progressive redistribution, maintain better environmental quality …, which supports empirical research. Inequality does not appear to be harmful for the environment, and it dampens the effect …