Modelling Heterogeneous Preferences for Income Redistribution–An Application of Continuous and Discrete Distributions

Pfarr, Christian; Schmid, Andreas; Mørkbak, Morten Raun

doi:10.1111/roiw.12282

Cited by 2 publications

(2 citation statements)

References 96 publications

(106 reference statements)

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“…Corneo and Gruner 2002;Alesina and Giuliano 2011). The internal validity of this indicator is constrained as, strictly speaking, this type of operationalization does not measure preferences but attitudes (Pfarr et al 2018). Although, sometimes used interchangeably, the concepts are not identical: 7 attitudes refer to subjective evaluations of an item with some degree of favour or disfavour.…”

Section: Measuring Preferences: Validitymentioning

confidence: 99%

Public preferences

Bender¹

2021

Handbook on Social Protection Systems

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For reforms to be acceptable and sustainable in the long run, they should be aligned with public preferences. 'Preferences' is a technical term used in social sciences or humanities including for example disciplines such as economics, philosophy or psychology. Broadly speaking, preferences refer to an individual's judgements on liking one alternative more than others. More specifically, preferences are 'subjective comparative evaluations, in the form of "Agent prefers X to Y"' (Hansson and Grüne-Yanoff 2018). Here, we are particularly interested in people's policy preferences concerning social protection, an area which deserves more attention in policy debates and research.Available research examines the micro-foundations of individuals' demand for redistributive policy measures or -albeit to a considerably lesser extent -specific social protection measures. It aims to understand individual preferences for redistribution and the underlying driving factors. As people's preferences reflect the acceptability of redistributive policies within societies, the distribution of preferences within a population is considered relevant in influencing the feasibility of social protection policies by shaping public support (or public opposition). However, it needs to be stressed that there is no direct transmission from public preferences to feasibility of social protection policies. As will be taken up below, the specifics of the political system, national institutions or international linkages play a crucial role in shaping resulting policies (see also Chapters 29, 31 or 32).A burgeoning literature on public preferences exists, yet, considering the current state of art there are at least two caveats. First, social protection entails two basic functions: redistribution and risk pooling (Breyer and Buchholz 2007). A considerable share of the literature is focusing on income redistribution or risk pooling in general without being explicitly linked to any specific or actual social protection policies. Second, although the literature including middle-and low-income countries is expanding, more literature is at present available on high-income countries which tend to have lower inequality and more redistribution than low-or middle-income countries. With respect to single-country studies there is substantial literature on the United States, which is in fact an interesting country for investigation as it is characterized by increasing inequality and relatively little redistribution (Alesina and Giuliano 2011). Research on other high-inequality countries, for example South Africa, is however slowly emerging.The remainder of this chapter is structured as follows. First, factors influencing preferences for redistribution will be presented and discussed. 1 Next, the issue of social accountability, i.e. the relationship between redistributive preferences and policy responsiveness, will be 1 Alesina und Giuliano (2011) provided the first comprehensive survey on the literature on preferences for redistribution.

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Section: Measuring Preferences: Validitymentioning

confidence: 99%

Public preferences

Bender¹

2021

Handbook on Social Protection Systems

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“…Yet studies reaching beyond this standard approach are rare. There are exceptions, such as work by Neustadt and Zweifel (2010;2015), Neustadt (2011), Pfarr (2012, , as well as Pfarr, Schmid, and Mørkbak (2016). These authors estimate preferences for redistribution using a discrete choice analysis, though none of them examine the effects of communism or differences between East and West Germans.…”

Section: Views On the Effect Of Communist Socializationmentioning

confidence: 99%

East and West Germans’ Attitudes and Preferences Regarding the Welfare State

Pfarr¹,

Schmid²,

Ulrich³

2017

Journal of Contextual Economics – Schmollers Jahrbuch

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Do citizens from former Communist countries exhibit attitudes and preferences with regard to income redistribution that differ from those in the West? This paper seeks to answer this question for reunified Germany. The analysis uses not only survey data on attitudes but also evidence on preferences from a choice task, which forces individuals to consider trade-offs and budget constraints. While we confirm results of prior studies documenting considerable differences in attitudes, we find no differences regarding preferences between East and West Germans. When facing economic restrictions, East and West Germans behave the same.

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Modelling Heterogeneous Preferences for Income Redistribution–An Application of Continuous and Discrete Distributions

Cited by 2 publications

References 96 publications

Public preferences

Public preferences

East and West Germans’ Attitudes and Preferences Regarding the Welfare State

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