Artikel

Social Status Concerns and the Political Economy of Publicly Provided Private Goods

We analyse the political economy of the public provision of private goods when individuals care about their social status. Status concerns motivate richer individuals to vote for the public provision of goods they themselves buy in markets: a higher provision level attracts more individuals to the public sector, enhancing the social exclusivity of market purchases. Majority voting may lead to a public provision that only a minority of citizens use. Users in the public sector may enjoy better provision than users in the private system. We characterise the coalitions that can prevail in a political equilibrium.

Language
Englisch

Bibliographic citation
Journal: The Economic Journal ; ISSN: 1468-0297 ; Volume: 131 ; Year: 2021 ; Issue: 633 ; Pages: 220-246 ; Oxford: Oxford University Press

Classification
Wirtschaft
Publicly Provided Private Goods
Political Processes: Rent-seeking, Lobbying, Elections, Legislatures, and Voting Behavior
Subject
in-kind provision
status preferences
majority voting

Event
Geistige Schöpfung
(who)
Friedrichsen, Jana
König, Tobias
Lausen, Tobias
Event
Veröffentlichung
(who)
Oxford University Press
(where)
Oxford
(when)
2021

DOI
doi:10.1093/ej/ueaa076
Handle
Last update
10.03.2025, 11:41 AM CET

Data provider

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Object type

  • Artikel

Associated

  • Friedrichsen, Jana
  • König, Tobias
  • Lausen, Tobias
  • Oxford University Press

Time of origin

  • 2021

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