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Social Protection and Political Competition

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Author Info

  • GABSZEWICZ, Jean J.

    ()
    (CORE, Université catholique de Louvain, B-1348 Louvain-la-Neuve, Belgium)

  • VAN YPERSELE, Tanguy

    (CORE, Université catholique de Louvain, B-1348 Louvain-la-Neuve, Belgium)

Abstract

This paper analyses how the level of social protection is determined when its choice depends on political competition. First this is done under autarky. Then the analysis is extended to take account of the existence of an international capital market. We show that social protection never increases under international competition and, in several circumstances, drastically decreases.

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Bibliographic Info

Paper provided by Université catholique de Louvain, Center for Operations Research and Econometrics (CORE) in its series CORE Discussion Papers with number 1994057.

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Date of creation: 01 Oct 1994
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Handle: RePEc:cor:louvco:1994057

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References

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  1. Torsten Persson & Guido Tabellini, 1990. "The Politics of 1992: Fiscal Policy and European Integration," NBER Working Papers 3460, National Bureau of Economic Research, Inc.
  2. Mayer, Wolfgang, 1984. "Endogenous Tariff Formation," American Economic Review, American Economic Association, vol. 74(5), pages 970-85, December.
  3. Anthony Downs, 1957. "An Economic Theory of Political Action in a Democracy," Journal of Political Economy, University of Chicago Press, vol. 65, pages 135.
  4. Magee,Stephen P. & Brock,William A. & Young,Leslie, 1989. "Black Hole Tariffs and Endogenous Policy Theory," Cambridge Books, Cambridge University Press, number 9780521362474, October.
  5. Grossman, G.M. & Helpman, E., 1992. "Protection for Sale," Papers 162, Princeton, Woodrow Wilson School - Public and International Affairs.
  6. Lejour, A. & Verbon, H., 1993. "Capital Mobility and Social Insurance in an Integrated Market," Papers 9379, Tilburg - Center for Economic Research.
  7. Bucovetsky, Sam & Wilson, John Douglas, 1991. "Tax competition with two tax instruments," Regional Science and Urban Economics, Elsevier, vol. 21(3), pages 333-350, November.
  8. Mintz, J. & Tulkens, H., 1984. "Commodity tax competition between member states of a federation: equilibrium and efficiency," CORE Discussion Papers 1984027, Université catholique de Louvain, Center for Operations Research and Econometrics (CORE).
  9. Robert E. Baldwin, 1982. "The Political Economy of Protectionism," NBER Chapters, in: Import Competition and Response, pages 263-292 National Bureau of Economic Research, Inc.
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Citations

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Cited by:
  1. Clemens Fuest & Bernd Huber, . "Tax Coordination and Unemployment," EPRU Working Paper Series 97-26, Economic Policy Research Unit (EPRU), University of Copenhagen. Department of Economics.
  2. Cremer, Helmuth & Pestieau, Pierre, 2002. "Factor Mobility and Redistribution: A Survey," IDEI Working Papers 154, Institut d'Économie Industrielle (IDEI), Toulouse, revised 2003.
  3. Thomas Eichner & Marco Runkel, 2006. "Corporate Income Taxation of Multinationals and Unemployment," CESifo Working Paper Series 1868, CESifo Group Munich.
  4. Bucovetsky, S., 2003. "Efficient migration and redistribution," Journal of Public Economics, Elsevier, vol. 87(11), pages 2459-2474, October.
  5. Gabszewicz, Jean J. & Van Ypersele, Tanguy, 1996. "The voting mechanism and market allocation: A note," European Journal of Political Economy, Elsevier, vol. 12(4), pages 723-727, December.
  6. Huizinga, Harry, 1999. "A two-region model of redistribution, migration and international trade," Journal of Public Economics, Elsevier, vol. 71(3), pages 335-354, March.
  7. Tim Krieger, 2001. "Intergenerational Redistribution and Labor Mobility: A Survey," Departmental Discussion Papers 106, University of Goettingen, Department of Economics.
  8. Wagener, Andreas, 1999. "Double Bertrand tax competition: a fiscal game with governments acting as middlemen," ZEW Discussion Papers 99-52, ZEW - Zentrum für Europäische Wirtschaftsforschung / Center for European Economic Research.
  9. Giampaolo Arachi & Massimo D'Antoni, 2004. "Redistribution as Social Insurance and Capital Market Integration," International Tax and Public Finance, Springer, vol. 11(4), pages 531-547, 08.
  10. Boccard, Nicolas & van Ypersele, Tanguy & Wunsch, Pierre, 2003. "Comparative advantage and social protection," European Journal of Political Economy, Elsevier, vol. 19(2), pages 247-264, June.
  11. Cremer, Helmuth & Pestieau, Pierre, 1996. "Distributive implications of European integration," European Economic Review, Elsevier, vol. 40(3-5), pages 747-757, April.
  12. Lee, Kangoh, 2002. "Factor Mobility and Income Redistribution in a Federation," Journal of Urban Economics, Elsevier, vol. 51(1), pages 77-100, January.
  13. Oliver Lorz & Frank Stähler, 2001. "Who is afraid of capital mobility? on taxation of labor income and the level of public services in an open economy," Journal of Economics, Springer, vol. 74(1), pages 79-101, February.
  14. Keisuke Kawata, 2013. "Capital market integration and optimal employment protection policies," IDEC DP2 Series 3-9, Hiroshima University, Graduate School for International Development and Cooperation (IDEC).
  15. Clemens Fuest & Bernd Huber & Jack Mintz, 2003. "Capital Mobility and Tax Competition: A Survey," CESifo Working Paper Series 956, CESifo Group Munich.
  16. Rizzo Leonzio, 2006. "Le inefficienze della competizione fiscale: una rassegna dei principali modelli teorici," Economia politica, Società editrice il Mulino, issue 1, pages 89-120.

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