Welfare Effects of National Taxes in an Economy with Regions
The present paper illustrates that changes in national commodity and income tax rates will affect the location choices of mobile factors of production within an economy. It is also argued that revenue (expenditure) neutral changes in the tax mix, for example, an increase in the commodity tax combine...
| Main Authors: | , |
|---|---|
| Format: | Journal Article |
| Published: |
Blackwell Publishing Asia
2003
|
| Online Access: | http://hdl.handle.net/20.500.11937/11949 |
| _version_ | 1848747941723897856 |
|---|---|
| author | Petchey, Jeffrey Levtchenkova, Sofia |
| author_facet | Petchey, Jeffrey Levtchenkova, Sofia |
| author_sort | Petchey, Jeffrey |
| building | Curtin Institutional Repository |
| collection | Online Access |
| description | The present paper illustrates that changes in national commodity and income tax rates will affect the location choices of mobile factors of production within an economy. It is also argued that revenue (expenditure) neutral changes in the tax mix, for example, an increase in the commodity tax combined with a decrease in the income tax rate, will affect the domestic distribution of mobile factors, their supply to the economy and social welfare. In other words, revenue neutrality should not be used as a guide to the welfare effects of tax mix changes. |
| first_indexed | 2025-11-14T06:57:09Z |
| format | Journal Article |
| id | curtin-20.500.11937-11949 |
| institution | Curtin University Malaysia |
| institution_category | Local University |
| last_indexed | 2025-11-14T06:57:09Z |
| publishDate | 2003 |
| publisher | Blackwell Publishing Asia |
| recordtype | eprints |
| repository_type | Digital Repository |
| spelling | curtin-20.500.11937-119492017-09-13T16:06:10Z Welfare Effects of National Taxes in an Economy with Regions Petchey, Jeffrey Levtchenkova, Sofia The present paper illustrates that changes in national commodity and income tax rates will affect the location choices of mobile factors of production within an economy. It is also argued that revenue (expenditure) neutral changes in the tax mix, for example, an increase in the commodity tax combined with a decrease in the income tax rate, will affect the domestic distribution of mobile factors, their supply to the economy and social welfare. In other words, revenue neutrality should not be used as a guide to the welfare effects of tax mix changes. 2003 Journal Article http://hdl.handle.net/20.500.11937/11949 10.1111/1475-4932.t01-1-00099 Blackwell Publishing Asia restricted |
| spellingShingle | Petchey, Jeffrey Levtchenkova, Sofia Welfare Effects of National Taxes in an Economy with Regions |
| title | Welfare Effects of National Taxes in an Economy with Regions |
| title_full | Welfare Effects of National Taxes in an Economy with Regions |
| title_fullStr | Welfare Effects of National Taxes in an Economy with Regions |
| title_full_unstemmed | Welfare Effects of National Taxes in an Economy with Regions |
| title_short | Welfare Effects of National Taxes in an Economy with Regions |
| title_sort | welfare effects of national taxes in an economy with regions |
| url | http://hdl.handle.net/20.500.11937/11949 |