Trust in Government and Support for Redistribution

In many countries safety nets consist predominantly of universal subsidies on food and fuel. A key question for policy makers willing to shift to targeted safety nets is under what conditions middle-class citizens would be supportive of redistribut...

Full description

Bibliographic Details
Main Authors: Silva, Joana, Morgandi, Matteo, Levin, Victoria
Format: Working Paper
Language:English
en_US
Published: World Bank, Washington, DC 2016
Subjects:
TAX
Online Access:http://documents.worldbank.org/curated/en/2016/05/26377292/trust-government-support-redistribution-transforming-electricity-governance-india-india’s-power-sector-regulation-enabled-consumers’-power
http://hdl.handle.net/10986/24514
Description
Summary:In many countries safety nets consist predominantly of universal subsidies on food and fuel. A key question for policy makers willing to shift to targeted safety nets is under what conditions middle-class citizens would be supportive of redistributive programs. Results from a behavioral experiment based on a nationally representative sample in Jordan reveal that increasing transparency in benefit delivery makes middle-class citizens (particularly among the youth and low-trust individuals) more willing to forgo their own welfare to benefit the poor. Moreover, increasing transparency enhances the relative support for cash-based safety nets, which have greater impact on poverty compared with in-kind transfers, but may be perceived as more prone to elite capture.