EconPapers    
Economics at your fingertips  
 

The Impact of Taxes, Transfers, and Subsidies on Inequality and Poverty in Uganda

Jon Jellema (), Nora Lustig (), Astrid Haas () and Sebastian Wolf ()
Additional contact information
Jon Jellema: Commitment to Equity Institute
Astrid Haas: International Growth Centre, Uganda
Sebastian Wolf: International Growth Centre, Uganda

No 1614, Working Papers from Tulane University, Department of Economics

Abstract: This paper uses the 2012/13 Uganda National Household Survey to analyze the redistributive effectiveness and impact on poverty and inequality of Uganda’s revenue collection instruments and social spending programs. Fiscal policy – including many of its constituent tax and spending elements – is inequality-reducing in Uganda, but the impact of fiscal policy on inequality is modest. The reduction of inequality due to fiscal policy in Uganda is lower than other countries with similar levels of initial inequality, a result tied to low levels of spending in Uganda generally. The impact of fiscal policy on poverty is negligible, though the combination of very sparse coverage of direct transfer programs and nearly complete coverage of indirect tax instruments means that many poor households are net payers into, rather than net recipients from, the fiscal system. As Uganda looks ahead to increased revenues from taxation and concurrent investments in productive infrastructure, it should take care to protect the poorest households from further impoverishment from the fiscal system.

Keywords: Fiscal incidence; poverty; inequality; fiscal policy; Uganda. (search for similar items in EconPapers)
JEL-codes: H22 I38 D31 (search for similar items in EconPapers)
New Economics Papers: this item is included in nep-dev
Date: 2016-08, Revised 2017-08
References: View references in EconPapers View complete reference list from CitEc
Citations: Track citations by RSS feed

Downloads: (external link)
http://repec.tulane.edu/RePEc/pdf/tul1614r.pdf Revised Version, August 2017 (application/pdf)

Related works:
Working Paper: The impact of taxes, transfers, and subsidies on inequality and poverty in Uganda (2016) Downloads
Working Paper: The Impact of Taxes, Transfers, and Subsidies on Inequality and Poverty in Uganda (2016) Downloads
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:tul:wpaper:1614

Access Statistics for this paper

More papers in Working Papers from Tulane University, Department of Economics Contact information at EDIRC.
Bibliographic data for series maintained by Yang Wang ().

 
Page updated 2019-08-17
Handle: RePEc:tul:wpaper:1614