Political Ideology and the Intragenerational Prospect of Upward Mobility

23 Pages Posted: 18 Jun 2018

See all articles by Maite D. Laméris

Maite D. Laméris

University of Groningen - Faculty of Economics and Business

Harry Garretsen

University of Groningen

Richard Jong-A-Pin

University of Groningen - Department of Economics (Economie)

Date Written: April 24, 2018

Abstract

We examine the effect of prospects of upward mobility (POUM) on the support for redistribution in an intragenerational context. In this context, existing literature so far fails to consider the potential indirect channel via political ideology through which mobility expectations affect redistributive preferences. We address this by including an interaction between income mobility and political ideology, such that the POUM-effect is allowed to vary with political beliefs. We find a robust POUM-effect that is conditional on political preferences. Only for right-wing individuals expected upward income mobility negatively affects support for redistribution. Left-wing individuals on the other hand prefer redistribution, regardless of expected upward income movements.

Keywords: the POUM-effect, political ideology, income mobility, redistribution, preferences

JEL Classification: D300, D720, J690

Suggested Citation

Laméris, Maite D. and Garretsen, Harry and Jong-A-Pin, Richard, Political Ideology and the Intragenerational Prospect of Upward Mobility (April 24, 2018). CESifo Working Paper Series No. 6987. Available at SSRN: https://ssrn.com/abstract=3194439

Maite D. Laméris (Contact Author)

University of Groningen - Faculty of Economics and Business ( email )

Postbus 72
9700 AB Groningen
Netherlands

Harry Garretsen

University of Groningen ( email )

Richard Jong-A-Pin

University of Groningen - Department of Economics (Economie) ( email )

P.O. Box 800
9700 AV Groningen
Netherlands

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