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We apply the Kakwani approach to decomposing redistributive effect into average rate, progressivity, and reranking components using yearly UK data covering 1977-2018. We examine cash and in-kind benefits, and direct and indirect taxes. In addition, we highlight an empirical implementation issue...
Persistent link: https://www.econbiz.de/10014030842
We show that a social planner who seeks to allocate a given sum in order to reduce efficiently the social stress of a population, as measured by the aggregate relative deprivation of the population, pursues a disbursement procedure that is identical to the procedure adhered to by a Rawlsian...
Persistent link: https://www.econbiz.de/10012823855
This paper follows the theory of optimal taxation and the goal is to identify a tax/benefit design that maximizes social welfare. A two stage process is proposed where the individuals preferred choice of leisure and consumption is solved in the first stage, and the second stage identifies the...
Persistent link: https://www.econbiz.de/10013150949
redistribution from the rich to the poor will improve social welfare, regardless of how small inequality is in the status quo …
Persistent link: https://www.econbiz.de/10012756257
For policy makers and analysts, it is important to isolate the redistributive impact of tax-benefit policy changes from changes in the environment in which policies operate. When actual reforms are motivated by work incentives, it is also crucial to evaluate behavioural responses and the...
Persistent link: https://www.econbiz.de/10013137246
agents' biased perceptions with this information has a significant effect on their stated preferences for redistribution … levels of redistribution when informed of their true ranking. This relationship between biased perceptions and political … attitudes provides an alternative explanation for the relatively low degree of redistribution observed in modern democracies …
Persistent link: https://www.econbiz.de/10013125167
Redistributive systems in Africa are still in their infancy but are constantly expanding in order to finance increasing public spending. This paper aims at characterizing the redistributive potential of six African countries: Ghana, Zambia, Mozambique, Tanzania, Ethiopia and South Africa. These...
Persistent link: https://www.econbiz.de/10012894556
Redistribution across individuals in a one-year-period framework is an empirically intensely studied question. However …, a substantial share of annual redistribution might turn out to serve individual insurance in a longer perspective …, reducing the level of actual redistribution across individuals. This paper investigates to what extent long-run redistribution …
Persistent link: https://www.econbiz.de/10012823316
Increasing inequality and associated egalitarian sentiments have again put redistribution on the political agenda …. Other-regarding preferences may also affect support for redistribution, but knowledge about their distribution in the … national plebiscites, to study the link between other-regarding preferences and support for redistribution in a broad sample of …
Persistent link: https://www.econbiz.de/10014083850
By inverting Saez (2002)'s model of optimal income taxation, we characterize the redistributive preferences of the Irish government between 1987 and 2005. The (marginal) social welfare function revealed by this approach is consistently comparable over time and show great stability despite...
Persistent link: https://www.econbiz.de/10013137249