Decomposing Redistributive Effects of Taxes and Transfers in Australia: Annual and Lifetime Measures
AbstractThis paper decomposes the redistributive effect on annual and lifetime inequality of a range of taxes and transfers in Australia, using a dynamic cohort lifetime simulation model. The redistributive effect is decomposed into vertical, horizontal and reranking effects. Horizontal inequities in the tax and transfer system are found to be negligible. The extent of reranking is greater in the lifetime than in the annual context and is affected by the equivalence scales used to adjust household incomes. If no adjustment is made to household incomes, reranking is about nine per cent of the reduction in lifetime inequality. However, if each child is counted as equivalent to one-third of an adult, reranking is found to be less than one per cent. Copyright 2001 by Blackwell Publishers Ltd/University of Adelaide and Flinders University of South Australia
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.
Bibliographic InfoArticle provided by Wiley Blackwell in its journal Australian Economic Papers.
Volume (Year): 40 (2001)
Issue (Month): 2 (June)
Contact details of provider:
Web page: http://www.blackwellpublishing.com/journal.asp?ref=0004-900X
You can help add them by filling out this form.
CitEc Project, subscribe to its RSS feed for this item.
- Creedy, J. & van de Ven, J., 2001.
"Taxation, Reranking and Equivalence Scales,"
Department of Economics - Working Papers Series
782, The University of Melbourne.
- Justin van de Ven & John Creedy, 2004. "Taxation, Reranking and Equivalence Scales," NIESR Discussion Papers 227, National Institute of Economic and Social Research.
- Justin van de Ven & John Creedy, 2003. "Taxation, Reranking and Equivalence Scales," Treasury Working Paper Series 03/11, New Zealand Treasury.
- John Creedy & Guyonne Kalb, 2005.
"Behavioural Microsimulation Modelling for Tax Policy Analysis in Australia: Experience and Prospects,"
Melbourne Institute Working Paper Series
wp2005n02, Melbourne Institute of Applied Economic and Social Research, The University of Melbourne.
- John Creedy & Guyonne Kalb, 2005. "Behavioural Microsimulation Modelling for Tax Policy Analysis in Australia: Experience and Prospects," Australian Journal of Labour Economics (AJLE), Bankwest Curtin Economics Centre (BCEC), Curtin Business School, vol. 8(1), pages 73-110, March.
- John Creedy & Guyonne Kalb, 2005. "Behavioural Microsimulation Modelling With the Melbourne Institute Tax and Transfer Simulator(MITTS) : Uses and Extensions," Department of Economics - Working Papers Series 932, The University of Melbourne.
- John Creedy & Catherine Sleeman, 2004. "Adult Equivalence Scales, Inequality and Poverty in New Zealand," Treasury Working Paper Series 04/21, New Zealand Treasury.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Wiley-Blackwell Digital Licensing) or (Christopher F. Baum).
If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.
If references are entirely missing, you can add them using this form.
If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.
If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.
Please note that corrections may take a couple of weeks to filter through the various RePEc services.