Template-Type: ReDIF-Paper 1.0 Title: Aggressiveness and Redistribution Author-Name: Dieter Bös Author-Name: Martin Kolmar Author-Email: Classification-JEL: D23, D30, D74 Keywords: Anarchy, Contests, Redistribution Abstract: In this paper we deal with voluntary and compulsory redistribution in an economy where the enforcement of property rights is costly. Two agents engage in a common-pool contest and two types of potential distortions arise: the waste of resources in the contest and the dilution of incentives to produce as a result of the existens of externalities in the conflict equilibrium. We were able to show the following results: (i) In some situations Pareto-improving redistribution occurs voluntarily. (ii) Otherwise, the government may choose an indirect way to improve production in the presence of appropriation: In a situation of partial anarchy in some market redistributive policies in other markets may help to reduce the inefficiency in the anarchic market. Note: Length: 23 Creation-Date: 2003-01 Revision-Date: File-URL: http://www.wiwi.uni-bonn.de/bgsepapers/bonedp/bgse2_2003.pdf File-Format: application/pdf Handle: RePEc:bon:bonedp:bgse2_2003