Arbeitspapier

Consequences of culture and diversity for governmental redistribution

We empirically study the effects of culture and diversity on government redistribution based on a large sample of countries. To disentangle culture from institutions, our analysis employs regional instruments as well as data on the prevalence of the pathogen Toxoplasma Gondii, linguistic differences, and the frequency of blood types. Redistribution is higher in countries with (1) loose family ties and individualistic attitudes, (2) high prevalence of trust and tolerance, (3) low acceptance of unequally distributed power and obedience, and (4) a prevalent belief that success is the result of luck and connections. Apart from their direct effects, these traits also exert indirect impact by influencing the transmission of inequality to redistribution. Finally, we show that redistribution and diversity in terms of culture, ethnic groups, and religion stand in a non-linear relationship, where moderate levels of diversity impede redistribution and higher levels offset the generally negative effect.

Language
Englisch

Bibliographic citation
Series: Working Paper Series ; No. 136

Classification
Wirtschaft
Welfare, Well-Being, and Poverty: Government Programs; Provision and Effects of Welfare Programs
Political Processes: Rent-seeking, Lobbying, Elections, Legislatures, and Voting Behavior
Personal Income, Wealth, and Their Distributions
Subject
Culture
Redistribution
Diversity

Event
Geistige Schöpfung
(who)
Gründler, Klaus
Köllner, Sebastian
Event
Veröffentlichung
(who)
Julius Maximilian University of Würzburg, Chair of Economic Order and Social Policy
(where)
Würzburg
(when)
2017

Handle
Last update
10.03.2025, 11:44 AM CET

Data provider

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Object type

  • Arbeitspapier

Associated

  • Gründler, Klaus
  • Köllner, Sebastian
  • Julius Maximilian University of Würzburg, Chair of Economic Order and Social Policy

Time of origin

  • 2017

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