This paper tests a version of Barro's tax-smoothing model, which assumes intertemporal optimization by a government seeking to minimize the distortionary costs of taxation, using Pakistan and Sri Lankan data for the periods 1956-95 and 1964-97, respectively. The empirical results indicate that...

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...

This paper discusses some of the issues raised by comparisons involving different time periods and population groups. It does not examine the effects of using alternative accounting periods for tax assessment purposes, but considers the possible effects on inequality and progressivity of...

This paper examines indirect tax reform in Australia using the method developed by Anmad and Stern (1984). It is usual, incalculating the changes in demand that would result from marginal tax reform, to use aggregate own- and cross-price demand elasticities.

Tax compliance is modelled as a Bayesian Nash equilibrium in a costly state verification game with imperfect auditing. Neither the tax payer nor the auditor can measure the tax payer's true liability precisely: they observe independent noisy signals.

This paper investigates the implications for Australian households of a carbon tax, using the input-output approach developed by Simons et al. (1994) and adapted by Cornwell and Creedy (1997). In these studies the carbon dioxyde reduction is generated by demand changes resulting from the...

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....