Progressive Tax Reforms in Flat Tax Countries

Salvador Barrios (), Viginta Ivaškaitė-Tamošiūnė, Anamaria Maftei, Edlira Narazani and Janos Varga

Eastern European Economics, 2020, vol. 58, issue 2, 83-107

Abstract: The adoption of flat tax systems in Central and Eastern European countries have often been supported by arguments of simplicity, higher compliance and lower distortionary effects. However, since income inequality is high in these countries, the question of introducing some progressivity has come to the fore in both policy and academic circles. In this paper, we combine microsimulation and macro models to analyze the effects of moving from a flat to a progressive tax system and we find that a reduction in income inequality can be achieved with positive, albeit negligible, employment and growth impact.

Date: 2020
References: Add references at CitEc
Citations: View citations in EconPapers (8)

Downloads: (external link)
http://hdl.handle.net/10.1080/00128775.2019.1671201 (text/html)
Access to full text is restricted to subscribers.

Related works:
Working Paper: Progressive tax reforms in flat tax countries (2019)
Working Paper: Progressive tax reforms in flat tax countries (2018)
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: https://EconPapers.repec.org/RePEc:mes:eaeuec:v:58:y:2020:i:2:p:83-107

Ordering information: This journal article can be ordered from
http://www.tandfonline.com/pricing/journal/MEEE20

DOI: 10.1080/00128775.2019.1671201

Access Statistics for this article

More articles in Eastern European Economics from Taylor & Francis Journals
Bibliographic data for series maintained by Chris Longhurst ().