About this document
Income Inequality and Government Spending by Ainung Wihadi is a document available to read on EtoBox.
This IMF Working Paper investigates the relationship between income inequality and government spending on redistribution, finding that more unequal societies tend to spend less on such programs. The authors challenge the median voter hypothesis and suggest that capital market imperfections may lead to decreased support for redistribution in unequal societies. The paper emphasizes the need for robust empirical analysis and highlights the inconclusive nature of existing literature on this topic.
- Author
- Ainung Wihadi
- Language
- EN