Meltzer-Richard Model
The Meltzer-Richard model is the canonical political-economy theory of the size of government, developed by Allan Meltzer and Scott Richard in 1981. It embeds the median voter theorem in a fiscal setting: the decisive median voter chooses a single linear (proportional) income tax rate whose revenue funds a uniform lump-sum transfer to everyone. Because income distributions are right-skewed, the median income falls below the mean, so the median voter is a net beneficiary of redistribution and votes for a positive tax. The model's central prediction is that the size of government rises with the ratio of mean to median income — and therefore with inequality — and with any extension of the franchise that lowers the decisive voter's relative income.
Rekodi ya chanzo
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- Meltzer, A. H., & Richard, S. F. (1981). A Rational Theory of the Size of Government. Journal of Political Economy, 89(5), 914-927. · DOI 10.1086/261013
- Romer, T. (1975). Individual Welfare, Majority Voting, and the Properties of a Linear Income Tax. Journal of Public Economics, 4(2), 163-185. · DOI 10.1016/0047-2727(75)90016-X
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