The distributional consequences of rent‐seeking.

We analyze the distributional effects of rent‐seeking via the financial sector in a model calibrated to US data. Rent‐seeking implies a misallocation of resources that increases wealth inequality among non‐rent‐seekers and for the whole economy. A deterioration in institutional quality implying more...

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Publicado en:Economic Inquiry Vol. 59; no. 4; pp. 1616 - 1641
Autores principales: Angelopoulos, Angelos, Angelopoulos, Konstantinos, Lazarakis, Spyridon, Philippopoulos, Apostolis
Formato: Artículo
Publicado: Wiley-Blackwell Oct2021
Materias:
Acceso en línea:Ver este registro en EBSCOhost
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      dt: Oct2021
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      aug:
        au:
          Angelopoulos, Angelos
          Angelopoulos, Konstantinos
          Lazarakis, Spyridon
          Philippopoulos, Apostolis
        affil:
          Department of Economics, Athens University of Economics and Business, Athens, Greece
          Subject of Economics, Adam Smith Business School, University of Glasgow, Glasgow, UK
          CESifo, Munich, Germany
          Economics Department, Lancaster University Management School, Lancaster, UK
      su:
        Income inequality
        Rent seeking
        Apartment leasing & renting
      sug:
        subj:
          Income inequality
          Lessors of residential buildings and dwellings (except social housing projects)
          Rent seeking
          Apartment leasing & renting
      keyword:
        conditional welfare changes
        rent‐seeking
        wealth distribution
        conditional welfare changes
        rent‐seeking
        wealth distribution
      ab: We analyze the distributional effects of rent‐seeking via the financial sector in a model calibrated to US data. Rent‐seeking implies a misallocation of resources that increases wealth inequality among non‐rent‐seekers and for the whole economy. A deterioration in institutional quality implying more rent‐seeking leads to welfare losses for non‐rent‐seekers, especially for those with higher earnings and initial wealth, because they are most affected by the deterioration of the aggregate economy. On the other hand, welfare gains are larger for rent seekers with higher earnings and wealth, who have an increased resource extraction capacity.
      pubtype: Academic Journal
      doctype: Article
      src: R
    language: English
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