Redistribution, power sharing and inequality concern

Abstract We analyze a political competition model of redistributive policies. provide an equilibrium existence result and full characterization the net transfers to different income groups. also derive several testable predictions about way in which group after-tax Gini coefficient vary with main parameters model. In accordance theory, empirical evidence from sample developed developing democracies supports highly statistically significant association between: (i) transfer gap between population mean initial income, (ii) (and resp., coefficient) power sharing disproportionality. addition, data some confirming relationship poor Gini) concern parties inequality.