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Leisure and redistribution

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  • Hodler, Roland

Abstract

We study a model with majority voting on redistribution in which agents differ in their skills and their preferences for leisure. Redistribution is generous and average labor supply low if the decisive voter has relatively strong preferences for leisure, while redistribution is limited and average labor supply high if the decisive voter has relatively weak preferences for leisure. Given differences in the preference distributions due to cultural differences or positive complementarities in leisure, our model thus provides an explanation for the substantial differences in redistribution and average working hours between the United States and continental Western Europe.

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Bibliographic Info

Article provided by Elsevier in its journal European Journal of Political Economy.

Volume (Year): 24 (2008)
Issue (Month): 2 (June)
Pages: 354-363

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Handle: RePEc:eee:poleco:v:24:y:2008:i:2:p:354-363

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Web page: http://www.elsevier.com/locate/inca/505544

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Cited by:
  1. Tobias König & Andreas Wagener, 2012. "Culture and Tax Structures," CESifo Working Paper Series 3748, CESifo Group Munich.
  2. König, Tobias & Wagener, Andreas, 2008. "(Post-)Materialist Attitudes and the Mix of Capital and Labour Taxation," Hannover Economic Papers (HEP) dp-404, Leibniz Universität Hannover, Wirtschaftswissenschaftliche Fakultät.
  3. Barnett, Richard & Bhattacharya, Joydeep & Bunzel, Helle, 2012. "Voting for immiserizing income redistribution in the Meltzer-Richard model," School of Economics Working Paper Series 2012-15, LeBow College of Business, Drexel University.
  4. Barnett, Richard C. & Bhattacharya, Joydeep & Bunzel, Helle, 2013. "Voting for income-immiserizing redistribution in the Meltzer-Richard model," Staff General Research Papers 36600, Iowa State University, Department of Economics.

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