The gasoline tax policy in Chile has always kept lower tax rates for gasoline relative to diesel. As a result, the share of diesel cars has been systematically growing, especially over the last 5 years. Given that, on average, 20% of diesel engine emissions are equivalent to 80% of gasoline...

This paper estimates the distributional incidence of gasoline taxes in Chile, using the V and VI Family Budget Surveys for this purpose. Tax incidence is estimated based on income and expenditures distribution to consider potential differences between transitory and permanent income. As a...

This paper both theoretically and empirically addresses how a vertical structure in the motion-pictures industry determines the number of prints a distributor releases of a new film. A simple theoretical model shows that the optimal number of copies is increasing on the expected demand for the...

Over the last 20 years, demand for air passenger transport has grown dramatically. At the same time, the two largest domestic airlines merged and several smaller entrants exited without being able to make significant inroads. As a result, the industry is highly concentrated, with a dominant firm...

Despite two decades of rapid growth, indigenous Chileans are disproportionately poor. However, income data obtained from household surveys that are not representative by ethnicity yield imprecise estimates of poverty and inequality for these groups. This paper therefore estimates poverty and...

In this work we estimate the degree of capitalization of the Santiago Metro network on housing prices, analyzing the differences among lines and counties. For this purpose, we combine hedonic regressions with simple difference estimators. The results show that apartments located near the Metro...

Despite rapid economic growth and poverty reduction, inequality in Chile has remained high and remarkably constant over the last 20 years, prompting academic and public interest in the subject. Due to data limitations, however, research on inequality in Chile has concentrated on the national and...

Despite success in reducing poverty over the last twenty years, inequality in Chile has remained virtually unchanged, making Chile one of the least equal countries in the world. High levels of inequality have been shown to hamper further reductions in poverty as well as economic growth, and...

By all accounts, poverty in Chile has declined dramatically over the last 20 years, with the national headcount ratio declining from nearly 40% in 1987 to below 14% in 2006. Due to data limitations, most research on poverty in Chile has focused on national and regional estimates, yet recent...

State governments finance their expenditures with multiple tax instruments, so when collections from one source decline, they are typically compensated by greater revenues from other sources. This paper addresses the important question of the extent to which personal and corporate income taxes...