Government intervention to reduce inequality might reduce growth rates because of rent-seeking behavior

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Government intervention to reduce inequality might reduce growth rates because of rent-seeking behavior. This means that

a. Landlords might raise rental rates on housing in order to pay the higher taxes that go with government wealth redistribution programs.

b. Groups who are not among the neediest might put pressure on government officials to obtain the transfer of wealth.

c. People who are not homeowners, but reside in rental housing, may become unmotivated and work less, reducing payments to landlords and slowing real estate markets.

d. As a large fraction of the population falls below the poverty line they are pushed out of homeownership and into rental housing, reducing the savings rate.