Arbeitspapier

The effects of economic globalisation and ethnic fractionalisation on redistribution

We examine the effect of economic globalisation on income redistribution and hypothesise that it depends on ethnic fractionalisation. In highly fractionalised countries, powerful ethnicities are able to extract globalisation-induced benefits, whereas their governments face substantial political obstacles when redistributing income between ethnic groups. Using the newly constructed KOF Globalisation Index, we find supportive evidence for the interactive effect of ethnic fractionalisation and de jure financial globalisation on redistribution. In particular, the total effect of de jure financial globalisation on redistribution is negative in highly fractionalised countries. Governments in these countries are apparently not only reluctant to offset potential consequences stemming from de jure financial globalisation, but they even reduce redistribution to lower levels.

Sprache
Englisch

Erschienen in
Series: KOF Working Papers ; No. 465

Klassifikation
Wirtschaft
Personal Income, Wealth, and Their Distributions
Equity, Justice, Inequality, and Other Normative Criteria and Measurement
Economic Integration
Macroeconomic Analyses of Economic Development
Economic Development: Human Resources; Human Development; Income Distribution; Migration
Thema
Income redistribution
Globalisation
Ethnic fractionalisation

Ereignis
Geistige Schöpfung
(wer)
Pleninger, Regina
Sturm, Jan-Egbert
Ereignis
Veröffentlichung
(wer)
ETH Zurich, KOF Swiss Economic Institute
(wo)
Zurich
(wann)
2019

DOI
doi:10.3929/ethz-b-000383383
Handle
Letzte Aktualisierung
10.03.2025, 11:42 MEZ

Datenpartner

Dieses Objekt wird bereitgestellt von:
ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. Bei Fragen zum Objekt wenden Sie sich bitte an den Datenpartner.

Objekttyp

  • Arbeitspapier

Beteiligte

  • Pleninger, Regina
  • Sturm, Jan-Egbert
  • ETH Zurich, KOF Swiss Economic Institute

Entstanden

  • 2019

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