The Wealth of Politicians and Redistribution

• In Event: Policymaker Characteristics and Behavior

Abstract

Political elites are often dominated by the wealthy. Wealthy individuals tend to be less supportive of government redistribution than the less wealthy. Do wealthier political elites implement less redistributive policies than the less wealthy politicians? Do wealthier politicians have economically more conservative preferences? While intuitive, these conjectures have not been studied systematically in a comparative context due to the lack of comprehensive data on politicians’ wealth. We address this gap by
drawing on original data from politicians’ financial disclosures in 41 countries around
the world. To aid causal identification and explore potential mechanisms, we further
utilize finer-grained data and several research designs in India, Chile, Romania and Spain.
Our preliminary results suggest that wealthier political elites are ideologically more
conservative and oversee less generous social and redistributive policies and outcomes.

Authors

• Marko Klasnja, Georgetown University

• Lucia Motolinia, Washington University in St Louis