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American Exceptionalism? Differences in the Elasticity of Preferences for Redistribution between the United States and Western Europe

Author

Listed:
  • Christopher Hoy

    (Australian National University)

  • Franziska Mager

    (Oxfam Great Britain)

Abstract

Are lower levels of support for redistribution in the United States compared to Western Eu- rope due overly optimistic beliefs about mobility and inequality or fundamental differences in preferences? We test this through a randomized survey experiment with 6,601 respondents, half of which received information about mobility and inequality. The treatment led to greater polarization between Americans and Western Europeans. In the United States, the results were driven by respondents that do not prefer lower inequality. Our ndings illustrate that differences in redistributive preferences across the Atlantic are due to a greater underlying tolerance of inequality as opposed to incorrect beliefs.

Suggested Citation

  • Christopher Hoy & Franziska Mager, 2020. "American Exceptionalism? Differences in the Elasticity of Preferences for Redistribution between the United States and Western Europe," Working Papers 530, ECINEQ, Society for the Study of Economic Inequality.
    • Handle: RePEc:inq:inqwps:ecineq2020-530
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    References listed on IDEAS

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    Cited by:

    1. Hoy,Christopher Alexander, 2022. "How Does the Progressivity of Taxes and Government Transfers Impact People’s Willingnessto Pay Tax ? Experimental Evidence across Developing Countries," Policy Research Working Paper Series 10167, The World Bank.
    2. Ferreira, João V. & Ramoglou, Stratos & Savva, Foivos & Vlassopoulos, Michael, 2024. ""Should CEOs' Salaries Be Capped?" A Survey Experiment on Limitarian Preferences," IZA Discussion Papers 17171, Institute of Labor Economics (IZA).

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    More about this item

    Keywords

    Inequality; Redistribution; Social Mobility; Political Economy.;
    All these keywords.

    JEL classification:

    • D31 - Microeconomics - - Distribution - - - Personal Income and Wealth Distribution
    • D63 - Microeconomics - - Welfare Economics - - - Equity, Justice, Inequality, and Other Normative Criteria and Measurement
    • D72 - Microeconomics - - Analysis of Collective Decision-Making - - - Political Processes: Rent-seeking, Lobbying, Elections, Legislatures, and Voting Behavior
    • D83 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Search; Learning; Information and Knowledge; Communication; Belief; Unawareness
    • P16 - Political Economy and Comparative Economic Systems - - Capitalist Economies - - - Capitalist Institutions; Welfare State

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