The purpose of this paper is to extend the analysis of built-in flexibility to various forms of consumption taxation. This is useful in view of the extensive use of indirect taxes. Section 2 begins with basic definitions and a discussion of income taxation, concentrating on the multi-step case....

This paper aims to examine the growth effects of human capital investment achieved through publicly-provided, compulsory education, financed from income and consumption taxes.

This paper provides new estimates of the revenue elasticity of income taxes in the UK over the period 1989-2000. Observed changes in these elasticities are decomposed into changes due to inflation, real income growth, changes in fiscal structure, and changes in the dispersion of incomes in the...

This paper presents an empirical analysis of the welfare effects of several indirect tax reforms in Australia. The welfare changes are measured in terms of equivalent variations and equivalent incomes, using estimates of the linear expenditure system for each of a range of income groups. The...

This paper examines the Gini-based method of decomposing the redistributive effect of taxation into vertical, horizontal, and reranking components. The consequences of different bandwidth choices, used to identify close-equals groups to estimate the horizontal effect, are discussed. Two opposing...

1. Introduction 2. Labour Supply 3. The Slutsky Condition 4. Welfare Changes 4.1 The Expenditure Function 4.2 Compensating and Equivalent Variations 5. Numerical Examples 5.1 The Tax System 5.2 Utility and Labour Supply 6. Conclusions