challenge. While our simulations show that budget consolidation can be done at a moderate pace in line with EU rules if those … the EU fiscal framework beyond its existing flexibility and the proposed green golden rule does not appear necessary in …

This paper calculates effective macro-economic tax rates for the 25 EU countries following the methodology developed in …. We show that effective tax rates in the 10 new member states of the EU are on average 10 percentage points lower on labor … capital. The newly computed tax rates are in line with the effective tax rates of the EU Commission for EU 15. Effective tax …