The popular support obtained by two parties who propose two qualitatively different tax schernes is analyzed. We show that if the median voter is below the mean, then any progressive proposal always wins over a regressive one, provided it leaves the poorest agent at least as well off as the...

Evidence of the existence of overeducation in the Spanish labour market has drawn the attention of research on the transitory character of overeducation (Alba-Ramirez, 1993 and García and Malo, 1995). Our main interest lies on whether overeducation is a source of inefficiency in the allocation...

A spatial model of party competition is studied in which, (i) Parties are supposed to have ideology. By this we mean that their goal is to maximize the welfare of their constituencies. (ii) The policy implemented after the election does not need to coincide with the one proposed by the winner....

This paper analyses the optimal inspection, tax and penalty functions, in models where the principal knows the distribution of agent types, inspections are perfect and costly, and where the actions and the types of agents are not costlessly observable by the principal. Agents and the principal...

This paper develops a political model to analyze the stability of income tax schedules. It isassumed that agents perceive any proposed alternative tax policy as more uncertain than thestatus quo. A tax policy is stable if it is a Condorcet winner. It is well known that in a modelwithout...

The analysis of the determinants of the individual wage income can be transfered to the total domestic income from the point of view of the human capital. This paper analyzes the effects that a group of variables, relative to sociodemographic and labour attributes, exerts on the total income...

This paper carries out a household classification in the framework of the Social Accounting Matrix. Bearing in mind the enlargeinent proposals of the National Accounts System of the United Nations, a first classification of Spanish households in accordance with certain demographic...

This paper implements the conceptual framework sketched by Pyatt (1990) to construct an extended Social Accounting Matrix for Spain in 1995 (ESAM-95) to consider, in addition to the market economy, the production of services provided by households through unpaid work. In doing so, the ESAM-95...

A one-dimensional model of spatial political competition with endogenous party formation is developed. It is proved that at equilibrium there are only two parties. These parties propose alternatives in the extreme position s of the policy space. The adopted policy, however, is a compromise...

We study an income tax enforcement problem using a principal agent model where the government sets the tax and inspection functions. These functions are announced to the agents and there is no commitment problem. The penalty function for dishonest taxpayers is given exogenously and must satisfy...