1. Home
  2. Studies
  3. Subjective Redistribution Preferences in Germany: Popular Will and Political Reality
Judith Niehues IW-Trends No. 1 2. April 2019 Subjective Redistribution Preferences in Germany: Popular Will and Political Reality

Survey data suggest that a majority of Germans want the government to reduce income disparities. This subjective preference for redistribution has increased markedly in the past decade, regardless of the actual development of distribution ratios, which have hardly changed since 2005.

Download Studie
Popular Will and Political Reality
Judith Niehues IW-Trends No. 1 2. April 2019

Subjective Redistribution Preferences in Germany: Popular Will and Political Reality

IW-Trends

German Economic Institute (IW) German Economic Institute (IW)

Survey data suggest that a majority of Germans want the government to reduce income disparities. This subjective preference for redistribution has increased markedly in the past decade, regardless of the actual development of distribution ratios, which have hardly changed since 2005.

Germany is by no means the only country in which the majority of citizens hold the state responsible for reducing the income gap between rich and poor. Yet in Germany this desire for equality is above the rich-country average, even though few OECD countries actually achieve a greater level of redistribution through government levies and transfers. A detailed examination of redistribution preferences reveals little interest in expanding expenditure expressly designed to benefit less privileged groups. Where taxes are concerned, the broad population favours a greater degree of progression. However, furthr survey results suggest that the redistributive effect already achieved by the income tax system is considerably underestimated. At the same time, polls indicate a marked preference for recognisable income differences as long as they are seen to be justified by performance. It would therefore make sense, while not ignoring conventional inequality indicators, to focus more closely on measures of equality of opportunity and rewards for performance, as this would make clearer whether the policies implemented really address the perceived deficits in fairness that interest voters.

Download Studie
Popular Will and Political Reality
Judith Niehues IW-Trends No. 1 2. April 2019

Judith Niehues: Subjektive Umverteilungspräferenzen in Deutschland – Wunsch und Wirklichkeit

IW-Trends

German Economic Institute (IW) German Economic Institute (IW)

More on the topic

Read the article
A Macroeconomic Analysis of Wage-Price Spirals
Thomas Obst / Maximilian Stockhausen IW-Analyse No. 155 9. January 2024

A Macroeconomic Analysis of Wage-Price Spirals

The subject of this Analysis is the forms that wage-price spirals can take and how they influence macroeconomic stability and inflationary trends in Germany.

IW

Read the article
Lydia Malin / Simon Schumacher IW-Report No. 2 4. January 2024

Pharmaceutical industry: Increasing pressure on the labor market

The shortage of skilled workers poses significant challenges for pharmaceutical companies in Germany and is expected to become increasingly problematic in the context of demographic changes. Concerning Germany's positioning in the international competition ...

IW

More about this topic

Content element with id 8880 Content element with id 9713