Democracy, redistributive taxation and the private provision of public goods
نویسنده
چکیده
Article history: Received 16 October 2009 Received in revised form 6 June 2010 Accepted 11 June 2010 Available online 19 June 2010 The paper studies in a simple, Downsian model of political competition the private provision of public goods embedded in a system of democracy and redistributive taxation. Results show that the positive effect of inequality on production of public goods, to which Olson (1965) pointed, is weakened and might even be reversed in this context. Also, the median voter may choose a negative tax rate, even if he or she is poorer than the mean, in order to stimulate production of public goods. The relevance of the model is illustrated with an application to the financing of higher education. © 2010 Elsevier B.V. All rights reserved. JEL classification: D31 D7 H2 H41 I22
منابع مشابه
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تاریخ انتشار 2010