The Tax Burden CGE Analysis for Slovakia and Slovenia

Veronika Mitkova and Jánošová Miroslava ()
Additional contact information
Jánošová Miroslava: Comenius University in Bratislava, Faculty of Social and Economic Sciences, Slovakia

Naše gospodarstvo/Our economy, 2019, vol. 65, issue 4, 35-46

Abstract: In the paper, the static computable general equilibrium model for Slovakia and Slovenia is used for a tax burden analysis. There was considered simultaneous 1% increase in taxes on primary factors, on firms’ and government domestic and imported purchases, on import taxes, on output (or income) tax, on private domestic and imported consumption taxes and export subsidies. The direct tax burden as well as the allocative efficiency effects of a tax, the welfare effects and welfare decomposition of such change for both countries is analysed. The most sensitive sectors on tax rate changes is heavy manufacturing and processed food and the most distorting effect has the tax increase on private consumption tax. The government’s tax increase should generate return at least 105.75% of its costs in Slovakia and 101.92% in Slovenia, otherwise the welfare will decline.

Keywords: tax burden; welfare analysis; CGE model (search for similar items in EconPapers)
JEL-codes: C68 (search for similar items in EconPapers)
Date: 2019
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
https://doi.org/10.2478/ngoe-2019-0018 (text/html)

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:vrs:ngooec:v:65:y:2019:i:4:p:35-46:n:4

DOI: 10.2478/ngoe-2019-0018

Access Statistics for this article

Naše gospodarstvo/Our economy is currently edited by Vesna Čančer

More articles in Naše gospodarstvo/Our economy from Sciendo
Bibliographic data for series maintained by Peter Golla ().