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Consumption and redistributive politics: The effect of credit and China

International Journal of Comparative Sociology

Published online on

Abstract

This article attempts to bring consumption into the study of redistributive politics. Analyzing data from 20 OECD countries over the period 1995–2007, I investigate whether factors that allowed lower and middle-income households to sustain their consumption had any impact on governments’ redistributive efforts. The article focuses on two factors in particular: access to credit and access to cheap imports (notably, imports from China). I argue that by enhancing consumption these mechanisms moderated the effects of income inequality and suppressed public discontent with increasing income inequality, thereby lessening the political urgency of redistribution.