IDEAS home Printed from https://ideas.repec.org/p/zbw/cexwps/294824.html
   My bibliography  Save this paper

Income, Identity, and International Redistribution: Evidence from the European Union

Author

Listed:
  • Schüssler, Julian
  • Hinz, Thomas
  • Leuffen, Dirk
  • Selb, Peter

Abstract

Previous research emphasizes that individual economic status does not significantly influence support for redistribution within the European Union (EU). Instead, identity factors are often posited as the main causes. We study the interaction of these variables and synthesize various theories that all predict that heightened European identification leads to a weaker influence of economic status. In a large original survey fielded in 12 countries, we find that respondents' income and perceived relative position correlate negatively with their redistribution preferences, both on the national and the EU level, as predicted by economic accounts. We also replicate findings on the positive effect of identity variables and find some evidence for the predicted interaction. However, randomized information treatments aimed at altering perceptions of an individual's or their member state's relative economic position fail to impact on preferences and do not interact with identity variables. Overall, our findings point toward a possible but quantitatively very limited role of economic status and its interaction with identity in understanding EU redistribution preferences.

Suggested Citation

  • Schüssler, Julian & Hinz, Thomas & Leuffen, Dirk & Selb, Peter, 2024. "Income, Identity, and International Redistribution: Evidence from the European Union," Working Papers 20, University of Konstanz, Cluster of Excellence "The Politics of Inequality. Perceptions, Participation and Policies".
  • Handle: RePEc:zbw:cexwps:294824
    as

    Download full text from publisher

    File URL: https://www.econstor.eu/bitstream/10419/294824/1/1887450467.pdf
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Holm, Joshua, 2016. "A model of redistribution under social identification in heterogeneous federations," Journal of Public Economics, Elsevier, vol. 143(C), pages 39-48.
    2. Mounir Karadja & Johanna Mollerstrom & David Seim, 2017. "Richer (and Holier) Than Thou? The Effect of Relative Income Improvements on Demand for Redistribution," The Review of Economics and Statistics, MIT Press, vol. 99(2), pages 201-212, May.
    3. Michael M. Bechtel & Jens Hainmueller & Yotam Margalit, 2014. "Preferences for International Redistribution: The Divide over the Eurozone Bailouts," American Journal of Political Science, John Wiley & Sons, vol. 58(4), pages 835-856, October.
    4. Lena Maria Schaffer & Gabriele Spilker, 2019. "Self-interest versus sociotropic considerations: an information-based perspective to understanding individuals’ trade preferences," Review of International Political Economy, Taylor & Francis Journals, vol. 26(6), pages 1266-1292, November.
    5. Meltzer, Allan H & Richard, Scott F, 1981. "A Rational Theory of the Size of Government," Journal of Political Economy, University of Chicago Press, vol. 89(5), pages 914-927, October.
    6. Fernández-Albertos, José & Kuo, Alexander, 2018. "Income Perception, Information, and Progressive Taxation: Evidence from a Survey Experiment," Political Science Research and Methods, Cambridge University Press, vol. 6(1), pages 83-110, January.
    7. ‪Emanuele Ciani & Louis Fréget & Thomas Manfredi, 2021. "Learning about inequality and demand for redistribution: A meta-analysis of in-survey informational experiments," OECD Papers on Well-being and Inequalities 02, OECD Publishing.
    8. Francesco Nicoli & Theresa Kuhn & Brian Burgoon, 2020. "Collective Identities, European Solidarity: Identification Patterns and Preferences for European Social Insurance," Journal of Common Market Studies, Wiley Blackwell, vol. 58(1), pages 76-95, January.
    9. James Alt & Torben Iversen, 2017. "Inequality, Labor Market Segmentation, and Preferences for Redistribution," American Journal of Political Science, John Wiley & Sons, vol. 61(1), pages 21-36, January.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Dietmar Fehr & Johanna Mollerstrom & Ricardo Perez-Truglia, 2022. "Your Place in the World: Relative Income and Global Inequality," American Economic Journal: Economic Policy, American Economic Association, vol. 14(4), pages 232-268, November.
    2. Dolls, Mathias & Wehrhöfer, Nils, 2021. "Attitudes towards euro area reforms: Evidence from a randomized survey experiment," European Journal of Political Economy, Elsevier, vol. 67(C).
    3. Díez-Alonso, Daniel, 2020. "Taxpayer Bias in Perceived Income Distributions," MPRA Paper 116775, University Library of Munich, Germany, revised 10 Jan 2021.
    4. Bublitz, Elisabeth & Wang, Hequn & Jäger, Julian & Beblo, Miriam & Lohmann, Henning, 2022. "Perceived income positions and attitudes towards EU inequality: A cross-country survey experiment," WiSo-HH Working Paper Series 70, University of Hamburg, Faculty of Business, Economics and Social Sciences, WISO Research Laboratory.
    5. Malte Luebker, 2019. "Can the Structure of Inequality Explain Fiscal Redistribution? Revisiting the Social Affinity Hypothesis," LIS Working papers 762, LIS Cross-National Data Center in Luxembourg.
    6. Campos-Vazquez, Raymundo M. & Krozer, Alice & Ramírez-Álvarez, Aurora A. & de la Torre, Rodolfo & Velez-Grajales, Roberto, 2022. "Perceptions of inequality and social mobility in Mexico," World Development, Elsevier, vol. 151(C).
    7. Maurice Dunaiski & Janne Tukiainen, 2023. "Does income transparency affect support for redistribution? Evidence from Finland's tax day," Discussion Papers 159, Aboa Centre for Economics.
    8. Hope, David & Limberg, Julian & Weber, Nina, 2023. "Why do (some) ordinary Americans support tax cuts for the rich? Evidence from a randomised survey experiment," European Journal of Political Economy, Elsevier, vol. 78(C).
    9. Gimpelson, V. & Chernina, E., 2020. "How we perceive our place in income distribution and how the perceptions deviate from reality," Journal of the New Economic Association, New Economic Association, vol. 46(2), pages 30-56.
    10. Xiaogeng Xu & Satu Metsälampi & Michael Kirchler & Kaisa Kotakorpi & Peter Hans Matthews & Topi Miettinen, 2023. "Which income comparisons matter to people, and how? Evidence from a large field experiment," Working Papers 10, Finnish Centre of Excellence in Tax Systems Research.
    11. Sanjit Dhami & Emma Manifold & Ali al‐Nowaihi, 2021. "Identity and Redistribution: Theory and Evidence," Economica, London School of Economics and Political Science, vol. 88(350), pages 499-531, April.
    12. Jeffrey, Karen, 2020. "Automation and the Future of Work: How Rhetoric Shapes the Response in Policy Preferences," SocArXiv beqra, Center for Open Science.
    13. Barton, Jared & Pan, Xiaofei, 2022. "Movin’ on up? A survey experiment on mobility enhancing policies," European Journal of Political Economy, Elsevier, vol. 74(C).
    14. Støstad, Morten Nyborg, 2023. "Fairness Beliefs Affect Perceived Economic Inequality," Discussion Paper Series in Economics 22/2023, Norwegian School of Economics, Department of Economics.
    15. Hansen, Ole-Petter Moe & Legge, Stefan, 2015. "Trading off Welfare and Immigration in Europe," Discussion Paper Series in Economics 22/2015, Norwegian School of Economics, Department of Economics.
    16. Juliana Londoño-Vélez, 2022. "The Impact of Diversity on Perceptions of Income Distribution and Preferences for Redistribution," NBER Working Papers 30386, National Bureau of Economic Research, Inc.
    17. Julián Costas-Fernández & Simón Lodato, 2022. "Inequality, poverty and the composition of redistribution," Social Choice and Welfare, Springer;The Society for Social Choice and Welfare, vol. 59(4), pages 925-967, November.
    18. Windsteiger, Lisa, 2022. "The redistributive consequences of segregation and misperceptions," European Economic Review, Elsevier, vol. 144(C).
    19. Engelmann, Dirk & Janeba, Eckhard & Mechtenberg, Lydia & Wehrhöfer, Nils, 2023. "Preferences over taxation of high-income individuals: Evidence from a survey experiment," European Economic Review, Elsevier, vol. 157(C).
    20. Pi, Jiancai & Zhang, Pengqing, 2021. "Redistribution and wage inequality," International Review of Economics & Finance, Elsevier, vol. 72(C), pages 510-523.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:zbw:cexwps:294824. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: ZBW - Leibniz Information Centre for Economics (email available below). General contact details of provider: https://www.exc.uni-konstanz.de/en/inequality/ .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.