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Individuals vary considerably in how much they earn during their lifetimes. This study examines the role of the tax‐and‐transfer system in mitigating such inequalities, which could otherwise lead to disparities in living standards. Utilizing a life‐cycle model, we determine that the...
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Constructing measures of post-tax income inequality that are consistent with national accounts requires the allocation of the entirety of government expenditure to individuals. About half of government expenditure in the United States takes the form of in-kind collective expenditure (e.g.,...
Persistent link: https://www.econbiz.de/10012816827
Korpi and Palme (1998) famously suggested the existence of a Paradox of Redistribution:although programs targeted to … harmonized by LIS. My results showthat the relationship between the redistribution obtained by social transfers and their pro … the rich are unable to reachdown the income ladder and remain stuck at very low levels of redistribution.This reflects how …
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Creating distributional national accounts (DINA; e.g. Piketty, Saez, and Zucman 2018) requires the allocation of all government expenditure to individuals in order to compute their post-tax, post-transfer income. A sizeable part of government expenditure is in-kind spending, either in the form of...
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additional limit to redistribution is the fact that even very altruistic agents can deliberately reduce its scope because of its …
Persistent link: https://www.econbiz.de/10014023654
The distributional impacts of fiscal policies are instrumental in reducing inequality in countries like the Philippines, where inequality has been persistently high. This paper assesses how equitable various taxes and transfers in the Philippines are by deriving the elasticities of Atkinson and...
Persistent link: https://www.econbiz.de/10013207209
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