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Empirical determinants of in-kind redistribution: Partisan biases and the role of inflation

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  • Hessami, Zohal
  • Silke, Uebelmesser

Abstract

There is a dearth of research on the determinants of in-kind redistribution. Using dynamic panel data estimations for 32 OECD countries, we show that the in-kind share of social benefits is lower under left-wing governments. This effect is weakened when left-wing governments respond to inflation by increasing the share of in-kind transfers.

Suggested Citation

  • Hessami, Zohal & Silke, Uebelmesser, 2012. "Empirical determinants of in-kind redistribution: Partisan biases and the role of inflation," MPRA Paper 38494, University Library of Munich, Germany.
  • Handle: RePEc:pra:mprapa:38494
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    References listed on IDEAS

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    12. Beck, Thorsten & Clarke, George & Groff, Alberto & Keefer, Philip & Walsh, Patrick, 2000. "New tools and new tests in comparative political economy - the database of political institutions," Policy Research Working Paper Series 2283, The World Bank.
    13. Janet Currie & Firouz Gahvari, 2008. "Transfers in Cash and In-Kind: Theory Meets the Data," Journal of Economic Literature, American Economic Association, vol. 46(2), pages 333-383, June.
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    Citations

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    Cited by:

    1. Potrafke, Niklas, 2017. "Partisan politics: The empirical evidence from OECD panel studies," Journal of Comparative Economics, Elsevier, vol. 45(4), pages 712-750.
    2. Zohal Hessami & Silke Uebelmesser, 2016. "A political-economy perspective on social expenditures: corruption and in-kind versus cash transfers," Economics of Governance, Springer, vol. 17(1), pages 71-100, February.
    3. Zohal Hessami, 2013. "Corruption, Public Procurement, and the Budget Composition: Theory and Evidence from OECD Countries," Working Paper Series of the Department of Economics, University of Konstanz 2013-27, Department of Economics, University of Konstanz.
    4. Jong A Pin, Richard & Lam, 2017. "Political Preferences of (Un)happy Voters," Research Report 17003-EEF, University of Groningen, Research Institute SOM (Systems, Organisations and Management).
    5. Hessami, Zohal, 2014. "Political corruption, public procurement, and budget composition: Theory and evidence from OECD countries," European Journal of Political Economy, Elsevier, vol. 34(C), pages 372-389.
    6. repec:spr:ecogov:v:17:y:2016:i:1:p:71-100 is not listed on IDEAS
    7. Zohal Hessami & Claudio Thum & Silke Uebelmesser, 2012. "A Political Economy Explanation for In-kind Redistribution: The Interplay of Corruption and Democracy," Working Paper Series of the Department of Economics, University of Konstanz 2012-25, Department of Economics, University of Konstanz.

    More about this item

    Keywords

    In-kind redistribution; social benefits; partisan biases; inflation;

    JEL classification:

    • H42 - Public Economics - - Publicly Provided Goods - - - Publicly Provided Private Goods
    • E31 - Macroeconomics and Monetary Economics - - Prices, Business Fluctuations, and Cycles - - - Price Level; Inflation; Deflation
    • I38 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - Government Programs; Provision and Effects of Welfare Programs
    • D78 - Microeconomics - - Analysis of Collective Decision-Making - - - Positive Analysis of Policy Formulation and Implementation

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