This paper analyzes anew the relationship between taxation and the household saving rate. On the basis of standard savings and tax revenue data from a sample of OECD countries, it provides compelling empirical evidence of a powerful impact of taxes on household savings. In particular, income...

This paper provides a largely nontechnical survey of concepts and issues related to the reform of the personal income tax, covering both base and rate aspects of the tax, as well as fundamental reform options. It also covers recent developments in selected OECD countries

This paper addresses the time-consistency problem of optimal policy when intertemporal prices are inflexible. For small, open economies facing given world interest rates, it shows that a consumption tax, rather than a tax on wage income, is time-consistent under a variety of circumstances, even...

This paper derives the Sustainability and Optimality Rules for government debt within an intertemporal optimizing framework in which both capital and government debt are endogenous, driven by utility and profit maximizing behavior of private agents and tax and expenditures policies of the...

Este trabalho aborda de forma sistemaacute;tica e abrangente a literatura existente sobre a relaccedil;atilde;o entre o crescimento econocirc;mico dos paiacute;ses e os diversos instrumentos de financcedil;as puacute;blicas, tais como poliacute;tica tributaacute;ria, poliacute;tica de despesa...

The present paper develops a one-sector aggregate endogenous growth model with intertemporal preference dependence. The resultant model possesses the fundamental property of growth convergence, in the sense that countries with identical parameters regarding technology, preference, and government...

The present paper takes a fresh theoretical and empirical look into the relationship between Wagner`s law and economic development. It introduces human capital into a classic two-sector model of unbalanced growth. It shows that, as an economy develops, changes in the relative returns to human...