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The Economic Journal
Article . 2009 . Peer-reviewed
License: Wiley TDM
Data sources: Crossref
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Endogenous Constitutions

Authors: Ticchi D; Vindigni A;

Endogenous Constitutions

Abstract

We present a theory of the choice of alternative democratic constitutions, a majoritarian or a consensual one, in an unequal society. A majoritarian democracy redistributes resources from the collectivity toward relatively few people, and has a relatively small government and low level of taxation. A consensual democracy redistributes resources toward a broader spectrum of social groups but also has a larger government and a higher level of taxation. We show that a consensual system turns out to be preferred by society when ex ante income inequality is relatively low, while a majoritarian system is chosen when income inequality is relatively high. We also obtain that consensual democracies should be expected to be ruled more often by center-left coalitions while the right should have an advantage in majoritarian constitutions. The implications for the relationship between inequality and redistribution are discussed. Historical evidence and a cross-sectional analysis support our results.

Keywords

HB Economic Theory, inequality, majoritarian democracy, Economics, JA Political science (General), Democratic constitutions; Democracy, Endogenous constitutions, consensual democracy, majoritarian democracy, inequality, redistribution, inequallity, endogenous constitutions, Endogenous Constitutions; Consensual Democracy; Majoritarian Democracy; Inequality; Heterogeneity; Redistribution, Macroeconomics and International Economics, consensual democracy, heterogeneity, Nationalekonomi, jel: jel:D72, jel: jel:D31, jel: jel:P16

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selected citations
These citations are derived from selected sources.
This is an alternative to the "Influence" indicator, which also reflects the overall/total impact of an article in the research community at large, based on the underlying citation network (diachronically).
BIP!Citations provided by BIP!
popularity
This indicator reflects the "current" impact/attention (the "hype") of an article in the research community at large, based on the underlying citation network.
BIP!Popularity provided by BIP!
influence
This indicator reflects the overall/total impact of an article in the research community at large, based on the underlying citation network (diachronically).
BIP!Influence provided by BIP!
impulse
This indicator reflects the initial momentum of an article directly after its publication, based on the underlying citation network.
BIP!Impulse provided by BIP!
68
Top 10%
Top 10%
Top 10%
Green
bronze