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The Ahmad-Stern approach revisited: Variants and an application to Mexico

Carlos Urzúa

No 2004-05, EGAP Working Papers from Tecnológico de Monterrey, Campus Ciudad de México

Abstract: This paper extends the methodology first proposed by Ahmad and Stern for the design of tax reforms that are optimal at the margin. The extension centers on a sharper approximation of welfare measures. The original approach and its variant are illustrated in the case of the current Mexican tax system.

Keywords: Ahmad-Stern approach; marginal tax reform (search for similar items in EconPapers)
JEL-codes: H2 (search for similar items in EconPapers)
Date: 2004-05
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