Empirical approaches to fiscal policy modelling
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Bibliographic Information
Empirical approaches to fiscal policy modelling
(International studies in economic modelling, 13)
Chapman & Hall, 1993
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Includes bibliographical references and index
Description and Table of Contents
Description
Alberto Heimler and Daniele Meulders In the last decade the modelling of the interrelationship between public finance and the rest of the economy has seen substantial advances, reflected in many of the papers delivered to the Applied Econometrics Association Conference held at Confindustria, Rome, on 30 November and 1 December 1989. In particular, the development of the literature on applied general-equilibrium modelling has found most of its applications in the field of taxation, enlarging and completing the estimation of the welfare loss due to distortionary taxes. In this context an important extension has been the introduction of overlapping-generation models. Furthermore, it has become clear that most individual decisions, especially the decision whether or not to work, are dependent upon the tax system, in the sense that the higher the marginal income tax the larger the wedge between labour cost and take-home pay, the last one being the decision variable in the demand for leisure. Finally, in the European context, the completion of the internal market has brought about the necessity to harmonize fiscal systems in the EEC member countries. A number of papers study, therefore, the effects of fiscal reform on efficiency, welfare and growth.
Table of Contents
Introduction by Alberto Heimler, Daniele Meulders. Part One: Taxation, economic growth and welfare. The excess burden of taxation in the US. An intertemporal general equilibrium model of taxation in Italy. Crowding out in a two-country overlapping generations model. Cost of capital, investment location and marginal effective tax rate: methodology and application. Part Two: Taxation and individual behaviour. Household saving, portfolio selection and taxation in France. Incomes and transitions within the labour force in Holland. Labour supply decisions and non-convex budget sets: the case of national insurance contributions in the UK. Income taxation and the supply of labour in West Germany. Part Three: Fiscal reform in four EEC countries. Tax rates, progressivity and de facto fiscal indexation in ten European countries. Tax policy at the bifurcation between equity and efficiency: lessons from the West German income tax reform. Harmonization of tax system in the EEC: simulations on the French case with the Sysyf model. The European internal market and the welfare of Italian consumers. Tax reform within the EC internal market: empirical analysis with two macroeconomic modelling approaches. Index.
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