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Title: Heterogeneous Preferences and In-kind Redistribution

Citation Type: Miscellaneous

Publication Year: 2014

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Abstract: This paper examines the impact of social classes cleavages on in-kind redistribution. Our paper contributes to the previous literature in two ways: (i) we consider the provision of several public goods and (ii) agents not only differ in income, but also in their preferences over the various public goods provided. In this setting, both the distribution and size of public goods provision depend on the distance between those preferences. Our main result is that preference heterogeneity tends to decrease the size of the budget, while income inequality tends to increase it. An empirical investigation based on United States Census Bureau data confirms this theoretical finding.

Url: http://www.siepweb.it/siep/images/candidati_chiuri_2014/Bellani_Scervini.pdf

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Authors: Bellani, Luna; Scervini, Francesco

Publisher: Societ Italiana di Economia Pubblica

Data Collections: IPUMS CPS

Topics: Other

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