Fundamental tax reform may change relative prices of consumption goods and may therefore have important effects on the uses side that are ignored by most general equilibrium simulation models. For a uniform rate of tax, in our model, results on the uses side are driven by the nonuniform tax...

Recent academic research on tax incidence has shifted from an emphasis on static and annual perspectives to examinations of dynamic and lifetime issues. Meanwhile, policy economists are forced to rely on annual data and hence annual analyses. The purpose of this paper is to discuss the nature...

All government agencies charged with the responsibility of estimating distributional effects use annual income to classify households and one year's tax to characterize tax burdens. In this paper, we describe an alternative procedure to estimate lifetime tax burdens as proportions of lifetime...

If the U.S. should limit carbon dioxide emissions, an allowance trading policy may offer one method of achieving that goal in a cost-effective manner. The distributional effects of such a program could be large, far in excess of the actual cost to the economy. This paper examines how two key...

If the U.S. should limit CO2 emissions, an allowance trading policy may offer one method of achieving that goal in a cost-effective manner. The distributional effects of such a program could be large, far in excess of the actual cost to the economy. This paper examines how two key decisions that...

This paper explores the often-neglected relationship between welfare reform and tax policy. It sets forth the objectives that underlie welfare reform, then compares expenditure-based and tax-based policy strategies that states and the federal government are taking. The examination suggests that,...

In recent months, proposals to replace all or most of the existing federal tax system with a national retail sales tax have received increased attention. The most prominent proposals include those by Reps. Dan Schaefer, R-Colo., and Billy Tauzin, R-La., and by a group called Americans for Fair...

Fundamental tax reform may change relative prices of consumption goods and may therefore have important effects on the uses side that are ignored by most general equilibrium simulation models. For a uniform rate of tax, in our model, results on the uses side are driven by the nonuniform tax...

Theories of fiscal illusion and political competition have different implications for (i) the causal relationships between taxes and spending, and (ii) government size. These are tested using data from u.s. states from 1950 to 1990. We find evidence that greater political competition generally...

Examines what we do and do not know about two types of behavioral responses most critical to the consumption-tax versus income tax debate. Shows how our uncertainty about the sizes of these behavioral responses can be translated into statements of uncertainly about the economic effects of a...