SOCI 152 Lecture Notes - Lecture 8: Progressive Tax, Labour Power, Deindustrialization
Document Summary
Romer (1975) , meltzer & richards (1981) democratic explanation for economic/welfare-interested voters. The more unequal the pre-tax (earnings) distribution of income, the higher the. Median voter is poorer than average voter so will favor a positive progressive tax demand for redistribution rate to transfer that wealth. More inequality means more individuals are below the average income and should vote in favor of taxing those above average. There is no majority-party or unions to represent them. Median voter may get redistribution without including lower-income groups. Voters think in terms for their future position on income ladder. Poor today, wealthy tomorrow- won"t want redistribution. Europeans who believe income ladder is determined by preconditions and luck do deserve help. 71% americans (v. 40% europeans) believe that poor have good chance of escaping poverty. Data suggests reverse, while us middle class more upwardly mobile. Voters less risk averse (worried about downward mobility)
