(2000), Economics of the Public Sector, W.W. Norton and Company –chapter 17 Auerbach, A.J., M. Feldstein, Handbook of Public Economics – volume 1, chapter 2 35 I n recent years, taxation has been one of the most prominent and controversial topics in economic policy. %PDF-1.5 In general equilibrium, factors must be paid the same net-of-tax rate in both sectors, since they are perfectly mobile. 0000004331 00000 n 0000003349 00000 n endstream 0000003555 00000 n �U��k%��3�Y$��I)p���FEl+>>��9V���RY3��5�}�;��QSuӽ����a2m����Ab\�����Gҽ�/f���!�u�m5Q�嶛�����$"j���'Bm��3��Lf#Of{RӦ��9 ��ꛥ�p�a�a|S��� �l(�F~sS�a�L��Yu�"m��^��Kf\�?��؎ L��c�~�nG�~�{��0����1 �ח�]��+�7i@#��{��*�O�u��� �)+���L�WG��ܿ��g>��oY�}�`%���m1��x:�m�U����3z3 �G�Fo��dap9e������*�@e��r��΀������j��}G��������w����ee�G妕ˉ?�]a?�f�SV�*�XY�آ�*MRck+�yj惵��!J�Q7�k��֮ trailer << /Size 287 /Info 253 0 R /Root 255 0 R /Prev 300923 /ID[] >> startxref 0 %%EOF 255 0 obj << /Type /Catalog /Pages 240 0 R /JT 252 0 R /PageLabels 238 0 R >> endobj 285 0 obj << /S 2012 /T 2309 /L 2375 /Filter /FlateDecode /Length 286 0 R >> stream endobj Compared to Australia, New Zealand’s tax system does not tax income generated from capital investments such as real estate, stocks and bonds. The Economics of Taxation offers a thorough discussion of the consequences of taxes on economic decisions and equilibrium outcomes, as well as useful insights into how policy makers should design taxes. �Dom�x�����.�� �7u]W�[��+�����sò�|`�����}�����|�R���.����~���\z��@�c���ݱ*�O� �^< endstream endobj 286 0 obj 1726 endobj 256 0 obj << /Type /Page /Parent 239 0 R /Resources 257 0 R /Contents 269 0 R /Thumb 186 0 R /MediaBox [ 0 0 612 792 ] /CropBox [ 0 0 612 792 ] /Rotate 0 >> endobj 257 0 obj << /ProcSet [ /PDF /Text ] /Font << /TT2 268 0 R /TT4 261 0 R /TT6 266 0 R /TT8 263 0 R /TT9 272 0 R /TT10 264 0 R /TT11 271 0 R >> /ExtGState << /GS1 280 0 R >> /ColorSpace << /Cs6 265 0 R >> >> endobj 258 0 obj << /Type /FontDescriptor /Ascent 700 /CapHeight 0 /Descent -209 /Flags 32 /FontBBox [ -55 -250 1138 750 ] /FontName /FNKPAA+cmbx12 /ItalicAngle 0 /StemV 0 /FontFile2 276 0 R >> endobj 259 0 obj << /Type /FontDescriptor /Ascent 706 /CapHeight 0 /Descent -217 /Flags 32 /FontBBox [ -40 -250 1008 750 ] /FontName /FNKPCD+cmr10 /ItalicAngle 0 /StemV 0 /FontFile2 281 0 R >> endobj 260 0 obj << /Type /FontDescriptor /Ascent 700 /CapHeight 0 /Descent -211 /Flags 32 /FontBBox [ -57 -250 1163 750 ] /FontName /FNKPBB+cmbx10 /ItalicAngle 0 /StemV 0 /FontFile2 282 0 R >> endobj 261 0 obj << /Type /Font /Subtype /TrueType /FirstChar 44 /LastChar 116 /Widths [ 272 0 0 0 489 489 489 0 489 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 639 0 733 0 0 0 0 0 0 761 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 489 543 435 0 435 0 489 0 272 0 0 0 816 543 489 0 0 380 0 380 ] /Encoding /WinAnsiEncoding /BaseFont /FNKOOO+cmr12 /FontDescriptor 262 0 R >> endobj 262 0 obj << /Type /FontDescriptor /Ascent 705 /CapHeight 0 /Descent -215 /Flags 32 /FontBBox [ -35 -250 988 750 ] /FontName /FNKOOO+cmr12 /ItalicAngle 0 /StemV 0 /FontFile2 275 0 R >> endobj 263 0 obj << /Type /Font /Subtype /TrueType /FirstChar 40 /LastChar 151 /Widths [ 447 447 0 0 0 383 319 0 0 575 575 575 575 0 575 0 0 575 319 0 0 0 0 0 0 869 0 831 882 756 0 904 0 436 0 0 692 1092 0 864 786 0 862 639 800 0 869 1189 0 0 0 0 0 0 0 0 0 559 639 511 639 527 351 575 639 319 0 0 319 958 639 575 639 607 474 454 447 639 607 0 607 607 511 0 0 0 0 0 0 0 0 0 0 0 0 0 575 0 0 0 0 0 0 0 0 0 0 0 0 0 0 575 ] /Encoding /WinAnsiEncoding /BaseFont /FNKPBB+cmbx10 /FontDescriptor 260 0 R >> endobj 264 0 obj << /Type /Font /Subtype /TrueType /FirstChar 36 /LastChar 175 /Widths [ 500 833 0 0 389 389 0 778 278 333 278 0 500 500 500 500 500 500 500 500 500 500 278 278 0 778 0 472 0 750 708 722 764 681 653 785 750 361 514 0 625 917 750 778 681 0 736 556 722 750 750 1028 0 0 0 278 0 278 0 0 0 500 556 444 556 444 306 500 556 278 306 528 278 833 556 500 556 528 392 394 389 556 528 722 528 528 444 0 0 0 0 0 0 0 0 0 0 0 0 0 500 0 0 0 0 0 0 0 0 0 278 500 500 0 0 0 500 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 500 ] /Encoding /WinAnsiEncoding /BaseFont /FNKPCD+cmr10 /FontDescriptor 259 0 R >> endobj 265 0 obj [ /ICCBased 279 0 R ] endobj 266 0 obj << /Type /Font /Subtype /TrueType /FirstChar 40 /LastChar 121 /Widths [ 437 437 0 0 0 0 312 0 0 562 562 562 562 0 0 0 0 0 312 0 0 0 0 0 0 849 799 812 861 738 0 884 879 419 0 0 675 1067 879 845 768 0 839 624 782 0 849 1161 0 0 0 0 0 0 0 0 0 547 624 499 624 513 343 562 624 313 0 593 313 937 624 562 624 593 459 443 437 624 593 812 593 593 ] /Encoding /WinAnsiEncoding /BaseFont /FNKPAA+cmbx12 /FontDescriptor 258 0 R >> endobj 267 0 obj << /Type /FontDescriptor /Ascent 707 /CapHeight 0 /Descent -211 /Flags 32 /FontBBox [ -34 -249 944 749 ] /FontName /FNKOLN+cmr17 /ItalicAngle 0 /StemV 0 /FontFile2 274 0 R >> endobj 268 0 obj << /Type /Font /Subtype /TrueType /FirstChar 69 /LastChar 120 /Widths [ 628 0 0 0 0 0 0 575 0 693 0 0 0 0 0 667 0 0 0 0 0 0 0 0 0 0 0 0 458 0 406 0 406 275 0 0 250 0 0 0 771 511 458 0 0 354 359 354 511 0 0 484 ] /Encoding /WinAnsiEncoding /BaseFont /FNKOLN+cmr17 /FontDescriptor 267 0 R >> endobj 269 0 obj << /Length 2156 /Filter /FlateDecode >> stream Currently New Zealand’s tax system lacks a Capital Gains Tax (A Tax system for New Zealand’s Future, 2010). The objective of excise taxation is to place the burden of paying the tax on the consumer. Taxation, imposition of compulsory levies on individuals or entities by governments. James & Nobes (1998); The economics of taxation, Prentice Hall Europe –chapter 3 Salanie, B. This text combines a balanced explanation and analysis of the economic principles of taxation with a broad-based description and evaluation of the policy and practical aspects of the tax system operating in the UK, and also highlights some international comparisons. H��W[o�~ׯ��NP�gfgfw���#��%)j�yH�@S��T"]���?����;gfy�lEjĝ۹~������d�Gn4�:qmF�ᒯ��i���N�ŕ��g��4����g��g_�r�7등�� q4������ɏ���l�~u�6��ں��[n.�8֩��&־Z��W/���j�\,o���+~�jb���f�p�v��/�_��Q��5�*����M����E�|��|?V�L��u��֮�1M57=���pt5]��ܹ�F�B�8�:��əϴ�7�C�H��f �]�ڌ}�.uoE���Ÿ��V�+���J(��G�D�am��M�,Oa��(3�9�81k޳0x&�e�䔺|����b���3��z�;��Q� ��Z��*�m���x�"��"�Qo�b��H�l�m׌�S��e蛾��7��&ZKI�M���&z�mHb̻µ �FH� �O��k����ux�9}�S�w��?���׆|�@w�_�� W�����Op��~���zJ�)V}q�. In the larger sense, it pertains to the whole fiscal policy of governments. 1 0 obj 0000003966 00000 n Holding Revenue onstant _ Sensible debates about taxes start here. 0000003129 00000 n endobj The magnitude of the effect is sizeable; on average, each major reform leads to a rise in top 1% share of pre-tax national income of 0.8 percentage points. Governments use the revenue from this tax to build and maintain highways, bridges, and mass transit systems. Only people who purchase gasoline -- who use the highways -- pay the tax. 0000002955 00000 n 0000006159 00000 n 0000006363 00000 n <>>> In this chapter, we examine the relationship between taxation and economic growth in a resource rich country, using Nigeria as a case study. Second-Best Tax Theory. <> �ӭ�^�3�>f�fYvM/;=���t%DOT�DT��%�U� ��}���� fsp��!�^� It falls into three parts. 0000009119 00000 n 0000014858 00000 n Taxation refers to the act of levying or imposing a tax by a taxing authority. 0000006682 00000 n �ӭ�^�3�>f�fYvM/;=���t%DOT�DT��%�U� ��}���� fsp��!�^� Introduction to taxation. 4 0 obj Tax Policy and the Economy publishes current academic research on taxation and government spending with both immediate bearing on policy debates and longer-term interest. �X�tgF����Jv���C�`8p�o��J��X�*�L��õ��F4QO���|���%��c� w0�C3�xA�b�Y�� 0000008914 00000 n �U��k%��3�Y$��I)p���FEl+>>��9V���RY3��5�}�;��QSuӽ����a2m����Ab\�����Gҽ�/f���!�u�m5Q�嶛�����$"j���'Bm��3��Lf#Of{RӦ��9 ��ꛥ�p�a�a|S��� �l(�F~sS�a�L��Yu�"m��^��Kf\�?��؎ L��c�~�nG�~�{��0����1 �ח�]��+�7i@#��{��*�O�u��� �)+���L�WG��ܿ��g>��oY�}�`%���m1��x:�m�U����3z3 �G�Fo��dap9e������*�@e��r��΀������j��}G��������w����ee�G妕ˉ?�]a?�f�SV�*�XY�آ�*MRck+�yj惵��!J�Q7�k��֮ PDF | This paper reviews the economics of taxation. Proportional taxation means that MRT = ART, so if a low income earner is taxed at 20%, so is a higher income earner.The proportion of tax paid is always the same, though in absolute terms it goes up the higher your income.. Progressive Taxation []. Tax rates are progressive; from 10% to 35% for individuals and from 15% to 35% for corporations. 0000061798 00000 n endobj <>/ProcSet[/PDF/Text/ImageB/ImageC/ImageI] >>/MediaBox[ 0 0 720 540] /Contents 4 0 R/Group<>/Tabs/S/StructParents 0>> 0000009461 00000 n General introduction. PART ONE: PRINCIPLES OF TAXATION. 3 0 obj 0000009308 00000 n stream stream <>/ProcSet[/PDF/Text/ImageB/ImageC/ImageI] >>/MediaBox[ 0 0 720 540] /Contents 8 0 R/Group<>/Tabs/S/StructParents 1>> endobj x���]O�H��-�?�˙JΙO�B^A���~��z���K�� �����S����c��y�y��ذ����>L��9M��(A@���5�Y��%__�b�\�#@���o��Szgl���*���5_uH�nCi�V�q���� �@�3٨�m�b�rk!�w��r�k���(�;!�V��0�G � 8���S�5L�Ga��g��Wc���zOߌ���t+ EY�q*n�J�ĝ�����iOB�bpp�Se��Y���,x�L��M�����-�+ѤFi�.�w�z�dƼM��g3A�S\��Ag[P �ڐl�b���#� R8��zɟ ��;�>�-6��&����$'�-瞛 �Y���>t͈i�8�N�p�)?f9E5Ա;m����I�x�����-)�^�Zo���u?��#���e2? 5 0 obj )%*%8%�h �*M>�AM�����d.�k��r�����޻5=K��i�q��';"5�Ax�i�^ʷ��T�*��P=)�'�s+�vZf/�4�N8Դz�[G�F8K���2-h���z�yU�I�Ak!��bKG�`��0�XD�b�Mjgͦ�����=+^a�Y���M�7�{�S�a�k(�3���%��7�;���4GX����vi�(��/��m��Т��%njU\�u|Y�E�'%�nW��6u�ꂳG�>J���a�;�~N�\/��e�Ӭ�nj�@5k�f1�b=tڻSk�A 3. 0000002932 00000 n The setting is the world of the two fundamental theorems of welfare economics, modified to include an income tax to accomplish redistribution in light of the infeasibility of … a. In this book, taxation refers both to taxes and to transfers to households. Taxation and incentives. In this approach, changes to the tax system re flect structural change. 4. H��W[o�~ׯ��NP�gfgfw���#��%)j�yH�@S��T"]���?����;gfy�lEjĝ۹~������d�Gn4�:qmF�ᒯ��i���N�ŕ��g��4����g��g_�r�7등�� q4������ɏ���l�~u�6��ں��[n.�8֩��&־Z��W/���j�\,o���+~�jb���f�p�v��/�_��Q��5�*����M����E�|��|?V�L��u��֮�1M57=���pt5]��ܹ�F�B�8�:��əϴ�7�C�H��f �]�ڌ}�.uoE���Ÿ��V�+���J(��G�D�am��M�,Oa��(3�9�81k޳0x&�e�䔺|����b���3��z�;��Q� ��Z��*�m���x�"��"�Qo�b��H�l�m׌�S��e蛾��7��&ZKI�M���&z�mHb̻µ �FH� �O��k����ux�9}�S�w��?���׆|�@w�_�� W�����Op��~���zJ�)V}q�, ��37��R�س۩A&�-}j �AF%n����'�b��-���t%v��}��x+P�KF�f[�f*8���%ᰝ��1��F:)�l�}���ذ��� It will be especially useful for a graduate course in public economics, because the analytics are both sophisticated and well explained. 254 0 obj << /Linearized 1 /O 256 /H [ 1102 1853 ] /L 306133 /E 62201 /N 24 /T 300934 >> endobj xref 254 33 0000000016 00000 n 8!޶*��ؔ�4�'�$�T5�ԃE:��}iϑ9-���KJ;���!�n9�|��Ռ�L�0��졣�D 0000005709 00000 n 3. %���� Over the years, my tax research has focused primarily on the ways that taxes affect household behavior and on the welfare implications of those changes. 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