This paper investigates the use of sample reweighting, in a behavioural tax microsimulation model, to examine the implications for government taxes and expenditure of population ageing in Australia. First, a calibration approach to sample reweighting is described, producing new weights that...

Based on data which are representative of the Australian population in 2002, this paper first analyses the demand for and cost of formal and informal childcare for couple and sole-parent families, shedding light on factors which affect the demand for childcare. The predicted demand of formal...

This paper decomposes the redistributive effect on annual and lifetime inequality of a range of taxes and transfers in Australia, using a dynamic cohort lifetime simulation model. The redistributive effect is decomposed into vertical, horizontal and reranking effects. Horizontal inequities in...

This paper derives a convenient method of calculating an approximation to the optimal tax rate in a linear income tax structure. Individuals are assumed to have Cobb-Douglas preferences and the wage rate distribution is lognormal. First, the optimal tax rate is shown, for a general form of...

This paper considers the question of whether it is possible to identify labour supply incentive effects of a tax and transfer system using information on only the distribution of earnings. The major characteristics of earnings distributions arising from a simple labour supply model are examined....

This paper provides estimates of individual and aggregate revenue elasticities of income and consumption taxes in New Zealand, based on the 2001 tax structure and expenditure patterns. Using analytical expressions for revenue elasticities at the individual and aggregate levels, together with a...

This paper examines the relative burden of monopoly, measured using the equivalent variation, for different household income levels. The results indicate that, whatever the size of the absolute welfare loss due to monopoly, there may be a substantial effect on the distribution of welfare....

It is often argued that an observation of rising annual income inequality need not have negative normative implications. The argument is that if there has been a sufficiently large simultaneous increase in mobility, the inequality of income measured over a longer time period can be lower despite...