Consumption Taxes and Redistribution

• 成果类型: Article
• 署名作者: Correia, Isabel
• 署名单位: Banco de Portugal
• 刊物名称: AMERICAN ECONOMIC REVIEW
• ISSN/ISSBN: 0002-8282
• DOI: 10.1257/aer.100.4.1673
• 发表日期: 2010
• 页码: 1673-1694
• 关键词: Equity; REFORM

摘要

This study considers replacing the current US tax system with only a flat tax consumption tax, showing, in contrast to the literature, that such a reform leads to a decline in inequality and increase in welfare for the welfare-poor. The results are obtained from a simple model that identifies the main channels through which the reform affects the economy. It is shown also that these novel results depend on the distribution of wealth and earnings, and that they hold for the relevant empirical distributions. (JEL D31, H23, H25)