The political economy of growth and distribution: a theoretical critique

Abstract: "This paper reconsiders the political economy approach to growth and distribution according to which (1) rising inequality induces more government redistribution; (2) more government redistribution is financed by higher distortionary taxation; and (3) higher distortionary taxes reduce economic growth. We present a variety of theoretical arguments demonstrating that all three propositions may be overturned by simply changing an assumption in a plausible way or adding a relevant real-world element to the basal models. The political economy models of growth and distribution, as well as the specific inequality-growth transmission channel they propose, must therefore be assessed as overly simplistic and inadequate with respect to the issues studied." (author's abstract)

Object Details

• Alternative title: Zur neuen Politischen Ökonomie von Wachstum und Verteilung: eine theoretische Kritik
• Location: Deutsche Nationalbibliothek Frankfurt am Main
• Extent: Online-Ressource, 27 S.
• Language: Englisch
• Notes: Veröffentlichungsversion

References and Relationships

• Bibliographic citation: WSI-Diskussionspapier ; Bd. 111

Classification and Topics

• Classification: Wirtschaft
• Keyword: Wirtschaftswachstum ; Einkommensverteilung ; Ökonomische Theorie der Politik ; Public-Choice-Theorie ; Umverteilung ; Kritik ; Theorie

Contributors, Places and Time

• Event: Veröffentlichung
• (where): Düsseldorf
• (when): 2003
• Creator: Josten, Stefan Dietrich ; Truger, Achim
• Contributor: Wirtschafts- und Sozialwissenschaftliches Institut in der Hans-Böckler-Stiftung

Further information

• URN: urn:nbn:de:0168-ssoar-234135
• Rights: Open Access unbekannt; Open Access; Der Zugriff auf das Objekt ist unbeschränkt möglich.
• Last update: 25.03.2025, 1:57 PM CET