Tax theories – what is the message of the history of theories for today?

Katalin Botos

Public Finance Quarterly, 2008, vol. 53, issue 3, 441-448

Abstract: In modern economy social policy is at the highest level in the hierarchy of policies. All other policies: the economic policy, sectoral policy, including the industrial and agricultural policy, transport policy, energy policy, monetary and fiscal and foreign exchange policy as well as science policy must serve social policy purposes. The political forces with the popular mandate to govern must have a clear vision about the society they want to create and about the main characteristics of that social concept. Namely, whether individuals or families are its basic units, whether income differences are small or large, how public welfare is interpreted, and whether it expects more or less from the state. As a matter of fact, the whole constitutional system must indicate an ideal social structure to be achieved and it is the obligation of the prevailing power to make every effort to further that. The constitutional system adopted after the change of regime was, as a matter of course, civic democracy based on the respect of private property. Economic policy as a whole must aim to implement the selected social concept. Civic democracies have several different models. Some are based on laissez-faire society, while others, striving to build a welfare society, assign greater role to the state. The model of social market economy, the one that Hungary chose, in theory, after the change of the political system, had developed from ordo-liberal ideas. In this model the economy is left to be shaped basically by market forces, but a strong social net is operated. These are naturally ideal forms, nevertheless, there are several developed countries which fall into one or the other category.

Date: 2008
References: Add references at CitEc
Citations:

Downloads: (external link)
https://unipub.lib.uni-corvinus.hu/9185/ (application/pdf)

Related works:
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:pfq:journl:v:53:y:2008:i:3:p:441-448

Access Statistics for this article

More articles in Public Finance Quarterly from Corvinus University of Budapest Contact information at EDIRC.
Bibliographic data for series maintained by Adam Hoffmann ().