The Effect of Information About Local Demand for Redistribution on Support for Territorial Transfers Among Affluent Groups

Abstract

Many multitier polities have some scheme of territorial-based redistribution, which plays a crucial role in mitigating territorial inequality. This article looks at the public opinion on inter-regional transfers and argues that: (1) perceptions of aggregate electoral support for interpersonal redistribution in the region affect support for inter-regional redistribution independently of perceptions about the region’s economic conditions and (2) perceptions of high electoral support for interpersonal redistribution among the region’s affluent can lead them to favor territorial transfers, because these transfers may work as a mechanism for local redistribution cost displacement. We test our argument using a survey experiment in which we provide information about regional economic conditions and aggregate demand for interpersonal redistribution. Our contribution highlights that the aggregate demand for interpersonal redistribution within regions is not necessarily endogenous to regions material conditions, and that the perception of this aggregate demand by the affluent affects their inter-regional redistributive preferences.