Redistributive Public Employment
Politicians may use â€œdisguisedâ€ redistributive policies in order to circumvent opposition to explicit tax-transfer schemes. First, we present a theoretical model that formalizes this hypothesis. Next, we provide evidence consistent with the prediction of the model, namely that in U.S. cities, politicians use public employment as such a redistributive device. We find that city employment is significantly higher in cities where income inequality and ethnic fragmentation are higher.
|Date of creation:||2000|
|Date of revision:|
|Publication status:||Published in Journal of Urban Economics|
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- Alberto Alesina & Reza Baqir & William Easterly, 1999.
"Public Goods And Ethnic Divisions,"
The Quarterly Journal of Economics,
MIT Press, vol. 114(4), pages 1243-1284, November.
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- Alesina, Alberto & Baqir, Reza & Easterly, William, 1999. "Public goods and ethnic divisions," Policy Research Working Paper Series 2108, The World Bank.
- Alberto Alesina & Reza Baqir & William Easterly, 1997. "Public Goods and Ethnic Divisions," NBER Working Papers 6009, National Bureau of Economic Research, Inc.
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"Openness, Country Size and Government,"
4553014, Harvard University Department of Economics.
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"Distributive Politics and Economic Growth,"
4551798, Harvard University Department of Economics.
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"Is Inequality Harmful for Growth,"
537, Stockholm - International Economic Studies.
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