- Volume 11, Number 1 (2023)
TACKLING CORRUPTION: A PILLAR OF MENA BANKING STRENGTH
Mahmoud Khedher Samir, Fatima Zohra Ben Youssef
Corruption in the banking sector is a major problem that can have negative consequences for the economy. This paper reviews the literature on the impact of corruption on the banking sector, with a focus on the following areas: (1) the lending decisions of banks, (2) the riskiness of banks' portfolios, (3) the stability of the banking system, and (4) economic growth. The paper concludes that corruption has a negative impact on all of these areas, and that it can lead to financial crises.
INEQUALITY MITIGATION: TAIWAN'S APPROACH TO WEALTH REDISTRIBUTION IN CONTRAST
Lin Wang Chao-Yang, Chen Liu Hsin-Yi
This paper examines the puzzle of why blue-collar workers in many democracies tend to support right-wing parties despite these parties wanting to limit income redistribution. The paper reviews the literature on the heterogeneous effects of democracy on tax and inequality, and argues that the preferences of blue-collar workers are shaped by a number of factors, including their economic insecurity, their cultural values, and their perceptions of the welfare state. The paper concludes by discussing the implications of these findings for the future of democracy and inequality.
HARNESSING FAIRNESS: THE IMPACT OF TAX REDISTRIBUTION ON INCOME INEQUALITY IN TAIWAN
Wang Liu Yu-Hsuan, Chen Tsai Hua-Ming
The paradox of voting behavior among low-income individuals and their preference for right-wing parties, which typically advocate for limited income redistribution, presents a puzzling conundrum in democratic systems. On the surface, one might expect that voters with lower incomes would favor a tax rate of unity, thereby facilitating the complete redistribution of income to match the societal mean. However, empirical observations in numerous democracies reveal a distinct trend where blue-collar workers tend to support right-wing parties, despite the inherent contradiction with their economic interests. The extensive literature attempting to unravel this puzzle has yielded diverse outcomes, primarily due to the...