Personal taxes and benefits affect the incentive to work over the lifecycle by altering income-age profiles, insuring against adverse shocks, and changing the returns to human capital. Previous work investigating the impact of taxes and benefits on work incentives has tended to ignore these...

We consider the impact of tax credits and income support programs on female education choice, employment, hours and human capital accumulation over the life-cycle. We analyse both the short run incentive effects and the longer run implications of such programs. By allowing for risk aversion and...

In this paper we look at lifetime inequality to address two main questions: How well does a modern tax system, based on annual information, target lifetime inequality? What aspects of the tranfser system are most progressive from a lifetime perspective? To answer to these questions it is crucial...

Personal taxes and benefits affect the incentive to work over the lifecycle by altering income-age profiles, insuring against adverse shocks, and changing the returns to human capital. Previous work investigating the impact of taxes and benefits on work incentives has tended to ignore these...

This paper provides an empirical account of the dynamic return to work, and how this is affected by taxes and benefits. In doing so we bring the insights from the literature on dynamic labour supply to the issue of estimating the financial return to work and how it is taxed, where the past...

A comparison of hazard rates of duration outcomes before and after policy changes is hampered by non-identification if there is unobserved heteogeneity in the effects and no model structure is imposed. We develop a discontinuity approach that overcomes this by exploiting variation in the moment...

This paper is an evaluation of the British labor market program the "New Deal for the Young Unemployed" using administrative panel data on individuals between 1982 and 1999. This mandatory program involves extensive job assistance followed by various other options, including wage subsidies. We...

We use UK administrative data to estimate the differential in labour market outcomes between Ethnic Minority benefit claimants and otherwise identical Whites. In many cases, Minorities and Whites are simply too different for satisfactory estimates to be calculated and results are sensitive to...

This document describes the UK tax and benefit system between April 1990 and April 2010, as implemented in FORTAX, a microsimulation library written in Fortran. It begins with an overview of FORTAX and the information it calculates. Subsequent sections describe the taxes and benefits implemented...

Conventional in-work benefits or tax credits are now well established as a policy instrument for increasing labour supply and tackling poverty. A different sort of in-work credit is one where the payments are time-limited, conditional on previous receipt of welfare, and, perhaps, not...