Fuel subsidies and income redistribution in Ecuador

H. Xavier Jara, Po Chun Lee, Lourdes Montesdeoca and Marcelo Varela

No wp-2018-144, WIDER Working Paper Series from World Institute for Development Economic Research (UNU-WIDER)

Abstract: This paper aims to evaluate the progressivity of different fuel subsidies in Ecuador as well as the budgetary and distributional effects of a potential elimination of such subsidies. Our analysis makes use of ECUAMOD, the tax-benefit microsimulation model for Ecuador, together with representative household microdata from ENIGHUR 2011-12. Our results show that domestic gas subsidy tends to be progressive, whereas gasoline and diesel subsidies tend to be regressive.

Keywords: Fuel subsidies; Income distribution; Microsimulation; ECUAMOD (search for similar items in EconPapers)
Date: 2018
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (4)

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