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The fair-minded rich and healthy? (Youth) unemployment, inequality and fairness concerns in preferences for redistribution

Armbruster, Stephanie. (2020) The fair-minded rich and healthy? (Youth) unemployment, inequality and fairness concerns in preferences for redistribution. WWZ Working Paper, 2020 (02). Basel.

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Abstract

Do rising inequality and youth unemployment aect preferences for redistribution? Using country-level European survey data from 2002 to 2015, I show that changes in market inequality and the rise of (youth) unemployment increase preferences for redistribution. The ndings are supported by the respondents' fairness concerns. Estimated effects exhibit substantial heterogeneity. There is systematic variation among fairness concerns with respect to income and health, which are triggered by market income inequality and (youth) unemployment. The preferences of the relatively rich and healthy are more responsive to the level of inequality and youth unemployment. At very high youth unemployment rates, even the rich might be in favor of redistribution. Results suggest that "income-and health- dependent fairness concerns" exist.
Faculties and Departments:06 Faculty of Business and Economics
06 Faculty of Business and Economics > Departement Wirtschaftswissenschaften > Professuren Wirtschaftswissenschaften > Public Economics / Public Finance (Hintermann)
12 Special Collections > WWZ Publications > WWZ Discussion Papers and Working Papers
UniBasel Contributors:Armbruster, Stephanie
Item Type:Working Paper
Publisher:WWZ
Number of Pages:54
Note:Publication type according to Uni Basel Research Database: Discussion paper / Internet publication
Language:English
Identification Number:
  • handle: RePEc:bsl:wpaper:2020/02
edoc DOI:
Last Modified:03 Apr 2020 14:31
Deposited On:03 Apr 2020 14:31

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