Equity and Fiscal Policy : The Income Distribution Effects of Taxation and Social Spending in Central America /

How does fiscal policy fare in improving the underlying income distribution in Central America? We integrate the data from a number of existing tax and public expenditure studies for the countries in the region and find that the distributional effect of taxation is regressive but small. In contrast,...

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Bibliografiske detaljer
Hovedforfatter: Cubero, Rodrigo
Andre forfattere: Hollar, Ivanna
Format: Tidsskrift
Sprog:English
Udgivet: Washington, D.C. : International Monetary Fund, 2010.
Serier:IMF Working Papers; Working Paper ; No. 2010/112
Online adgang:Full text available on IMF
Beskrivelse
Summary:How does fiscal policy fare in improving the underlying income distribution in Central America? We integrate the data from a number of existing tax and public expenditure studies for the countries in the region and find that the distributional effect of taxation is regressive but small. In contrast, the redistributive impact of social spending is large and progressive, leading to a progressive net redistributive effect in all countries of the region. We also show that raising tax revenues and devoting the proceeds to social spending would unambiguously improve the income of the poorest households.
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Fysisk beskrivelse:1 online resource (42 pages)
Format:Mode of access: Internet
ISSN:1018-5941
Adgang:Electronic access restricted to authorized BRAC University faculty, staff and students