On the Optimal Fiscal Treatment of Family Size

Alessandro Balestrino ()

FinanzArchiv: Public Finance Analysis, 2001, vol. 58, issue 2, pages 140-

Abstract: Should a benevolent social planner subsidize family size? Typically, contributions assuming exogenous fertility yield an affirmative answer, while those assuming endogenous fertility do not reach definite conclusions. We re-examine the endogenous fertility model, and find that when redistribution is accomplished mostly using non-income taxes, there is indeed a case for encouraging fertility, as long as poor families tend to have more children. Instead, when redistribution is mainly pursued using a non-linear income tax, the above rationale for child subsidization disappears. We finally argue that whether children are a tax asset or a tax liability depends, however, on all the policy instruments, and not only on the tax treatment of family size.

JEL-codes: D13 H21 H31 J13 (search for similar items in EconPapers)
Date: 2001
References: Add references at CitEc
Citations View citations in EconPapers (1) Track citations by RSS feed

There are no downloads for this item, see the EconPapers FAQ for hints about obtaining it.

Related works:
Working Paper: ON THE OPTIMAL FISCAL TREATMENT OF FAMILY SIZE (2001)
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: http://EconPapers.repec.org/RePEc:mhr:finarc:urn:sici:0015-2218(200202)58:2_140:otofto_2.0.tx_2-8

Ordering information: This journal article can be ordered from
Mohr Siebeck GmbH & Co. KG, P.O.Box 2040, 72010 Tübingen, Germany

Access Statistics for this article

FinanzArchiv: Public Finance Analysis is edited by Alfons Weichenrieder and Ronnie Schöb

More articles in FinanzArchiv: Public Finance Analysis from Mohr Siebeck, Tübingen
Series data maintained by Thomas Wolpert ().