This paper analyzes the welfare effects of altruism on the optimal fiscal policy. The existence of positive bequests links present and future generations in the economy. We show that these altruistic links provide a new role for indirect taxation (consumption and estate taxes) with important...

This article deals with the indirect taxation increases (Value Added Taxes and Special Consumption Taxes) we experienced during the period 2010-2012 in the context of the fiscal consolidation program. In addition it addresses the methodology of the immediate and full pass through of indirect...