income shock in the EU, compared to 32 per cent in the US. In the case of an unemployment shock 47 per cent of the shock are … absorbed in the EU, compared to 34 per cent in the US. This cushioning of disposable income leads to a demand stabilization of … up to 31 per cent in the EU and up to 28 per cent in the US. There is large heterogeneity within the EU. Automatic …

study the economic effects of introducing two elements of a fiscal union: Firstly, an EU-wide tax and transfer system and … secondly, an EU-wide system of fiscal equalisation. Using the European tax-benefit calculator EUROMOD, we exploit … countries. These effects depend on income levels and the structures of the existing national tax and transfer systems. The EU …

approach to characterize the redistributive preferences embodied in the welfare systems of 17 EU countries and the US. Implicit …