A new paper suggests they are mutually exclusive:
Most people tend to assume that strong national identity and strong preferences for redistribution go hand-in-hand - the plausible intuition here is that we are more likely to give to our fellow citizens if we identify strongly with them. This intuition...underlies a significant chunk of political theory argument about the relationship between the nation-state and redistributive obligations. Shayo’s argument points in a very different direction - he argues that strong national identity goes together with high income inequality and low desire (among working class voters) for redistribution.
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