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will tend to be higher in countries with higher inequality and with greater pro-rich bias in the political system …. Conversely, the use of income tax will be higher in countries with lower inequality and less pro-rich bias. The model also … predicts that although inequality and political bias will have an impact on the composition of revenue, it will have no effect …
Persistent link: https://www.econbiz.de/10010745045
We study the determinants of the (steady-state) POUM effect in a model where the individuals evaluate their expected future income using both their current income and observable characteristics such as education, race or gender.
Persistent link: https://www.econbiz.de/10010572255
Interest in economic mobility stems largely from its perceived role as an equalizer of opportunities, though not necessarily of outcomes. In this paper we show that this view leads very naturally to a methodology for the measurement of social mobility which has strong parallels with the theory...
Persistent link: https://www.econbiz.de/10011150120
Advanced economies have a significantly longer history of using fiscal policy to tackle inequality and promote … policy can have a significant effect on inequality which provides some cause for optimism about its equity …
Persistent link: https://www.econbiz.de/10011106725
Advanced economies have a longer history of leveraging fiscal policy to address inequality relative to developing Asia …
Persistent link: https://www.econbiz.de/10011165562
Advanced economies have a longer history of leveraging fiscal policy to address inequality relative to developing Asia …
Persistent link: https://www.econbiz.de/10011166009
This paper studies how heterogeneity in income dynamics affects the POUM hypothesis (the idea that poor people do not support high level of redistribution because they hope to be rich in the future). We consider a setting where individuals evaluate their expected future income using both their...
Persistent link: https://www.econbiz.de/10005432663
The introduction of a flat tax is supposed to have several advantages. Administration and compliance costs are reduced, as well as incentives for tax evasion. Furthermore, positive employment and growth effects are expected. Despite these advantages, a flat rate tax is not very popular in most...
Persistent link: https://www.econbiz.de/10010297020
This paper explores whether more generous social spending polices in fact lead to less income inequality, or if … with regard to inequality levels, I apply the System GMM estimator and use the presumably random incidence of certain … reduces inequality levels. The result is robust with respect to the instrument count and different data restrictions. Looking …
Persistent link: https://www.econbiz.de/10011600978
This paper explores if more generous social spending polices in fact lead to less income inequality, or if … with regard to inequality levels, I apply the System GMM estimator and use the presumably random incidence of certain … reduces inequality levels. The result is robust with respect to the instrument count and different data restrictions. Looking …
Persistent link: https://www.econbiz.de/10010271422