Journal article · 2025

Got much, got nothing: analyzing the impact of increased special interest groups’ influence on utility

Labib Shami and Teddy Lazebnik

Eurasian Economic Review 15(4), 1021–1044

Summary

Models the long-run effects of raising transfer payments to members of an interest group who stay out of the labour market, focusing on Israel's ultra-Orthodox community. In the differential-equation model, allowances beyond a critical level shrink the working population that funds public goods, eventually eroding the group's own benefits as well.

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Research theme

Political economy & game theory

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