This paper investigates how tax revenue elasticities develop with respect to their tax base and analyses the specific impact of the business cycle. The main novelty of the paper is to use revenue data net of discretionary tax measures. Based on an EU country panel for the period 2001-13, we...

The paper sets up an analytical framework within which the arguments for centralized vs. decentralized tax policy can be represented and weighed against each other. Two aspects of the debate are considered: first, the global welfare effects of 'harmonizing' tax reforms are discussed when...