Evolution of fiscal systems: Convergence or divergence?

Paloma Péligry and Xavier Ragot

SciencePo Working papers Main from HAL

Abstract: We analyze the convergence or divergence of the diversity of fiscal systems after the financial crisis of 2007. Studying 29 countries, we first document the evolution of the taxation of households, firms, labour, consumption and capital. We identify three types of fiscal systems: liberal, intermediate and high-redistribution, which can be ranked in ascending order of tax rates, confirming known typologies in the diversity of capitalism literature. Only the tax rate on corporate profits shows signs of downward convergence over the period. The other tax rates show rather signs of divergence. Second, a divergence is observed among the liberal and high-redistribution group over the period. The European countries are converging towards the high-redistribution model, with the exception of Great Britain, which is moving towards the liberal model. Thus, the financial crisis seems to contribute not to the convergence, but to the divergence of fiscal systems.

Keywords: tax systems globalization capital taxation JEL classification: H12 H6 P43; tax systems; globalization; capital taxation JEL classification: H12; H6; P43 (search for similar items in EconPapers)
Date: 2023-11-08
Note: View the original document on HAL open archive server: https://hal.science/hal-04384035
References: Add references at CitEc
Citations:

Published in Socio-Economic Review, 2023, ⟨10.1093/ser/mwad070⟩

Downloads: (external link)
https://hal.science/hal-04384035/document (application/pdf)

Related works:
Working Paper: Evolution of fiscal systems: Convergence or divergence? (2023)
Working Paper: Evolution of fiscal systems: Convergence or divergence? (2022)
Working Paper: Evolution of fiscal systems: Convergence or divergence? (2022)
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:hal:spmain:hal-04384035

DOI: 10.1093/ser/mwad070

Access Statistics for this paper

More papers in SciencePo Working papers Main from HAL
Bibliographic data for series maintained by Contact - Sciences Po Departement of Economics ().