Abstract

Inequality studies tend to assume a positive correlation between income and wealth inequality. We doubt whether this holds for Rhineland welfare states as they seem to combine low income inequality with high wealth inequality levels. We hypothesize that publicly funded life-time income security, which is so typical for Rhineland welfare states, enhances private debt creation, while the redistributive taxes required to finance this system are targeting income rather than wealth.

Abstract

Given difficult to access pre-colonial forms of surplus extraction, African colonial governments faced severe constraints to raise revenue for incipient colonial state formation. This paper compares the ways in which the British and the French dealt with this challenge in a quantitative framework. We exploit colonial government budget accounts to construct PPP-adjusted comparisons of per capita government revenue by source. A comparison of fiscal capacity building shows that pragmatic responses to varying local economic, political and demographic conditions can easily be mistaken for specific metropolitan blueprints of colonial governance and that under comparable local circumstances the French and British operated in remarkably similar ways.