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Immigration vs. Poverty: Causal Impact on Demand for Redistribution in a Survey Experiment

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  • Andrea F.M. Martinangeli
  • Lisa Windsteiger

Abstract

Demand for and provision of redistributive public intervention, which had in the recent past given way to immigration in the political arena, bounced forcefully back at the onset of the economic consequences of the Covid pandemic. We investigate how demand for both the ï¬ nancing and the provision of redistribution is affected by immigration and poverty. Information about immigration has a negative impact on demanded redistributive taxation among high income respondents and a positive one among low income earners. Information about poverty has no impact. On the provision side, high income respondents increase desired public education expenditure in response to poverty, while low income respondents reduce desired education spending in response to immigration. These heterogeneities are consistent with protectionist reactions to immigration and poverty.

Suggested Citation

  • Andrea F.M. Martinangeli & Lisa Windsteiger, 2019. "Immigration vs. Poverty: Causal Impact on Demand for Redistribution in a Survey Experiment," Working Papers tax-mpg-rps-2019-13, Max Planck Institute for Tax Law and Public Finance.
  • Handle: RePEc:mpi:wpaper:tax-mpg-rps-2019-13
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    More about this item

    Keywords

    Immigration; poverty; redistribution; survey experiment;
    All these keywords.

    JEL classification:

    • D31 - Microeconomics - - Distribution - - - Personal Income and Wealth Distribution
    • D63 - Microeconomics - - Welfare Economics - - - Equity, Justice, Inequality, and Other Normative Criteria and Measurement
    • H53 - Public Economics - - National Government Expenditures and Related Policies - - - Government Expenditures and Welfare Programs
    • J15 - Labor and Demographic Economics - - Demographic Economics - - - Economics of Minorities, Races, Indigenous Peoples, and Immigrants; Non-labor Discrimination

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