I Perceive Therefore I Demand : The Formation of Inequality Perceptions and Demand for Redistribution

This paper investigates the link between inequality and demand for redistribution by looking at how individuals form their perceptions of inequality. Most of the literature analyzing demand for redistribution has focused on objective inequality, ra...

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Main Authors: Bussolo, Maurizio, Ferrer-i-Carbonell, Ada, Giolbas, Anna, Torre, Ivan
Format: Working Paper
Language:English
Published: World Bank, Washington, DC 2019
Subjects:
Online Access:http://documents.worldbank.org/curated/en/217371561686066298/I-Perceive-Therefore-I-Demand-The-Formation-of-Inequality-Perceptions-and-Demand-for-Redistribution
http://hdl.handle.net/10986/31998
id okr-10986-31998
recordtype oai_dc
spelling okr-10986-319982022-09-20T00:15:13Z I Perceive Therefore I Demand : The Formation of Inequality Perceptions and Demand for Redistribution Bussolo, Maurizio Ferrer-i-Carbonell, Ada Giolbas, Anna Torre, Ivan PERCEPTIONS FAIRNESS INEQUALITY REDISTRIBUTION INCOME DISTRIBUTION LIVING STANDARDS This paper investigates the link between inequality and demand for redistribution by looking at how individuals form their perceptions of inequality. Most of the literature analyzing demand for redistribution has focused on objective inequality, rather than subjective perceptions of inequality. However, a model that links demand for redistribution to subjective inequality is needed, given that recent empirical research has shown a growing gap between subjective and objective inequality. Using data from the International Social Survey Programme survey, the paper focuses on explaining individuals' formation of inequality perceptions using objective variables. The paper then studies the relationship between these perceptions and individuals' demand for redistribution. The analysis finds that objective macro variables are associated with individuals' perceptions of inequality, and that individual circumstances, some of which relate to self-interest, like age, educational attainment, and income, also play an important role. Perceptions of equality, in turn, are significatively correlated to demand for redistribution and seem to substitute for any effect of objective variables. This result suggests that contextual macro variables only affect individuals' demand for redistribution through their perceptions of equality and do not have a direct effect. 2019-07-01T17:09:52Z 2019-07-01T17:09:52Z 2019-06 Working Paper http://documents.worldbank.org/curated/en/217371561686066298/I-Perceive-Therefore-I-Demand-The-Formation-of-Inequality-Perceptions-and-Demand-for-Redistribution http://hdl.handle.net/10986/31998 English Policy Research Working Paper;No. 8926 CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo World Bank World Bank, Washington, DC Publications & Research Publications & Research :: Policy Research Working Paper
repository_type Digital Repository
institution_category Foreign Institution
institution Digital Repositories
building World Bank Open Knowledge Repository
collection World Bank
language English
topic PERCEPTIONS
FAIRNESS
INEQUALITY
REDISTRIBUTION
INCOME DISTRIBUTION
LIVING STANDARDS
spellingShingle PERCEPTIONS
FAIRNESS
INEQUALITY
REDISTRIBUTION
INCOME DISTRIBUTION
LIVING STANDARDS
Bussolo, Maurizio
Ferrer-i-Carbonell, Ada
Giolbas, Anna
Torre, Ivan
I Perceive Therefore I Demand : The Formation of Inequality Perceptions and Demand for Redistribution
relation Policy Research Working Paper;No. 8926
description This paper investigates the link between inequality and demand for redistribution by looking at how individuals form their perceptions of inequality. Most of the literature analyzing demand for redistribution has focused on objective inequality, rather than subjective perceptions of inequality. However, a model that links demand for redistribution to subjective inequality is needed, given that recent empirical research has shown a growing gap between subjective and objective inequality. Using data from the International Social Survey Programme survey, the paper focuses on explaining individuals' formation of inequality perceptions using objective variables. The paper then studies the relationship between these perceptions and individuals' demand for redistribution. The analysis finds that objective macro variables are associated with individuals' perceptions of inequality, and that individual circumstances, some of which relate to self-interest, like age, educational attainment, and income, also play an important role. Perceptions of equality, in turn, are significatively correlated to demand for redistribution and seem to substitute for any effect of objective variables. This result suggests that contextual macro variables only affect individuals' demand for redistribution through their perceptions of equality and do not have a direct effect.
format Working Paper
author Bussolo, Maurizio
Ferrer-i-Carbonell, Ada
Giolbas, Anna
Torre, Ivan
author_facet Bussolo, Maurizio
Ferrer-i-Carbonell, Ada
Giolbas, Anna
Torre, Ivan
author_sort Bussolo, Maurizio
title I Perceive Therefore I Demand : The Formation of Inequality Perceptions and Demand for Redistribution
title_short I Perceive Therefore I Demand : The Formation of Inequality Perceptions and Demand for Redistribution
title_full I Perceive Therefore I Demand : The Formation of Inequality Perceptions and Demand for Redistribution
title_fullStr I Perceive Therefore I Demand : The Formation of Inequality Perceptions and Demand for Redistribution
title_full_unstemmed I Perceive Therefore I Demand : The Formation of Inequality Perceptions and Demand for Redistribution
title_sort i perceive therefore i demand : the formation of inequality perceptions and demand for redistribution
publisher World Bank, Washington, DC
publishDate 2019
url http://documents.worldbank.org/curated/en/217371561686066298/I-Perceive-Therefore-I-Demand-The-Formation-of-Inequality-Perceptions-and-Demand-for-Redistribution
http://hdl.handle.net/10986/31998
_version_ 1764475605195161600