IDEAS home Printed from https://ideas.repec.org/a/pal/palcom/v7y2020i1d10.1057_s41599-020-0514-4.html
   My bibliography  Save this article

Four profiles of inequality and tax redistribution in Europe

Author

Listed:
  • Frederico Cantante

    (CoLABOR)

Abstract

The rise of economic inequality in the past few decades is one of the most relevant phenomena in western countries recent history. Market income distribution pushed inequality up and challenged welfare state capacity to deal with economic gaps. Market inequality or gross income inequality are considerably higher than disposable income inequality. This has to do with redistributive state policies. This paper analyses gross income inequality in the EU countries and measure the impact of personal taxes on income distribution. Several measures of redistributive tax impact on income inequality will be explored. Having in consideration both the level of gross income inequality and the impact of personal taxes on top shares, a typology of income distribution and redistribution in Europe will be drawn.

Suggested Citation

  • Frederico Cantante, 2020. "Four profiles of inequality and tax redistribution in Europe," Palgrave Communications, Palgrave Macmillan, vol. 7(1), pages 1-7, December.
    • Handle: RePEc:pal:palcom:v:7:y:2020:i:1:d:10.1057_s41599-020-0514-4
    DOI: 10.1057/s41599-020-0514-4
    as

    Download full text from publisher

    File URL: http://link.springer.com/10.1057/s41599-020-0514-4
    File Function: Abstract
    Download Restriction: Access to full text is restricted to subscribers.
    File URL: https://libkey.io/10.1057/s41599-020-0514-4?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Paul Alois, 2014. "Income Inequality and Happiness: Is There a Relationship?," LIS Working papers 614, LIS Cross-National Data Center in Luxembourg.
    2. Thomas Piketty, 2013. "Le capital au XXIe siècle," Post-Print halshs-00979232, HAL.
    3. Michael Kumhof & Romain Rancière & Pablo Winant, 2015. "Inequality, Leverage, and Crises," American Economic Review, American Economic Association, vol. 105(3), pages 1217-1245, March.
    4. Immervoll, Herwig & Richardson, Linda, 2011. "Redistribution Policy and Inequality Reduction in OECD Countries: What Has Changed in Two Decades?," IZA Discussion Papers 6030, Institute of Labor Economics (IZA).
    5. Michael Förster & Ana Llena-Nozal & Vahé Nafilyan, 2014. "Trends in Top Incomes and their Taxation in OECD Countries," OECD Social, Employment and Migration Working Papers 159, OECD Publishing.
    6. Rafal Kierzenkowski & Isabell Koske, 2012. "Less Income Inequality and More Growth – Are they Compatible? Part 8. The Drivers of Labour Income Inequality – A Literature Review," OECD Economics Department Working Papers 931, OECD Publishing.
    7. Nuno Alves, 2012. "A view on income redistribution in Portugal and in the European Union," Economic Bulletin and Financial Stability Report Articles and Banco de Portugal Economic Studies, Banco de Portugal, Economics and Research Department.
    8. Atkinson, Anthony B., 2015. "Inequality: what can be done?," LSE Research Online Documents on Economics 101810, London School of Economics and Political Science, LSE Library.
    9. Oliver Denk, 2015. "Who are the top 1% earners in Europe?," OECD Economics Department Working Papers 1274, OECD Publishing.
    10. Ms. Florence Jaumotte & Ms. Carolina Osorio-Buitron, 2015. "Inequality and Labor Market Institutions," IMF Staff Discussion Notes 2015/014, International Monetary Fund.
    11. Bert Brys & Stephen Matthews & Jeffrey Owens, 2011. "Tax Reform Trends in OECD Countries," OECD Taxation Working Papers 1, OECD Publishing.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Ling Yu & Pengjun Zhao & Junqing Tang & Liang Pang & Zhaoya Gong, 2023. "Social inequality of urban park use during the COVID-19 pandemic," Palgrave Communications, Palgrave Macmillan, vol. 10(1), pages 1-11, December.
    2. Ziyang Yue & Gangqiang Yang & Haisen Wang, 2023. "How do tax reductions motivate technological innovation?," Palgrave Communications, Palgrave Macmillan, vol. 10(1), pages 1-18, December.
    3. Markina Oksana, 2022. "Taxation, Inequality, and Poverty: Evidence from Ukraine," Central European Economic Journal, Sciendo, vol. 9(56), pages 1-18, January.
    4. Ruiqiao Bai & Jacqueline C. K. Lam & Victor O. K. Li, 2023. "What dictates income in New York City? SHAP analysis of income estimation based on Socio-economic and Spatial Information Gaussian Processes (SSIG)," Palgrave Communications, Palgrave Macmillan, vol. 10(1), pages 1-14, December.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Dirk Bezemer & Anna Samarina, 2019. "Debt shift, financial development and income inequality," DNB Working Papers 646, Netherlands Central Bank, Research Department.
    2. Andrea Colciago & Anna Samarina & Jakob de Haan, 2019. "Central Bank Policies And Income And Wealth Inequality: A Survey," Journal of Economic Surveys, Wiley Blackwell, vol. 33(4), pages 1199-1231, September.
    3. Kevin Pineda‐Hernández & François Rycx & Mélanie Volral, 2022. "How collective bargaining shapes poverty: New evidence for developed countries," British Journal of Industrial Relations, London School of Economics, vol. 60(4), pages 895-928, December.
    4. Yılmaz Akyüz, 2018. "Inequality, financialisation and stagnation," The Economic and Labour Relations Review, , vol. 29(4), pages 428-445, December.
    5. Marta de la Cuesta-González & Cristina Ruza & José M. Rodríguez-Fernández, 2020. "Rethinking the Income Inequality and Financial Development Nexus. A Study of Nine OECD Countries," Sustainability, MDPI, vol. 12(13), pages 1-18, July.
    6. Koen Caminada & Kees Goudswaard & Chen Wang & Jinxian Wang, 2019. "Income Inequality and Fiscal Redistribution in 31 Countries After the Crisis," Comparative Economic Studies, Palgrave Macmillan;Association for Comparative Economic Studies, vol. 61(1), pages 119-148, March.
    7. Nora Lustig, 2016. "Fiscal Policy, Inequality and the Poor in the Developing World," Working Papers 1612, Tulane University, Department of Economics, revised Aug 2017.
    8. Duane Swank, 2015. "The Political Foundations of Redistribution in Post-industrial Democracies," LIS Working papers 653, LIS Cross-National Data Center in Luxembourg.
    9. Jan Vandemoortele, 2021. "The open‐and‐shut case against inequality," Development Policy Review, Overseas Development Institute, vol. 39(1), pages 135-151, January.
    10. Christian A. Belabed, 2016. "Inequality and the New Deal," IMK Working Paper 166-2016, IMK at the Hans Boeckler Foundation, Macroeconomic Policy Institute.
    11. Philip Arestis & Ana Rosa Gonzalez-Martinez, 2016. "Income Inequality: Implications and Relevant Economic Policies," Panoeconomicus, Savez ekonomista Vojvodine, Novi Sad, Serbia, vol. 63(1), pages 1-24, March.
    12. Brei, Michael & Ferri, Giovanni & Gambacorta, Leonardo, 2023. "Financial structure and income inequality," Journal of International Money and Finance, Elsevier, vol. 131(C).
    13. Enrico Rubolino & Daniel Waldenström, 2020. "Tax progressivity and top incomes evidence from tax reforms," The Journal of Economic Inequality, Springer;Society for the Study of Economic Inequality, vol. 18(3), pages 261-289, September.
    14. Renato Miguel Carmo & Margarida Carvalho & Frederico Cantante, 2015. "The Persistence of Class Inequality: The Portuguese Labour Force at the Turn of the Millennium," Sociological Research Online, , vol. 20(4), pages 1-17, November.
    15. Farhad Taghizadeh‐Hesary & Naoyuki Yoshino & Sayoko Shimizu, 2020. "The impact of monetary and tax policy on income inequality in Japan," The World Economy, Wiley Blackwell, vol. 43(10), pages 2600-2621, October.
    16. Ara Stepanyan & Jorge Salas, 2020. "Distributional Implications of Labor Market Reforms: Learning from Spain's Experience," IMF Working Papers 2020/029, International Monetary Fund.
    17. Crouch, Colin, 2019. "Inequality in post-industrial societies," Structural Change and Economic Dynamics, Elsevier, vol. 51(C), pages 11-23.
    18. de Haan, Jakob & Sturm, Jan-Egbert, 2017. "Finance and income inequality: A review and new evidence," European Journal of Political Economy, Elsevier, vol. 50(C), pages 171-195.
    19. Lustig Nora, 2016. "Inequality and Fiscal Redistribution in Middle Income Countries: Brazil, Chile, Colombia, Indonesia, Mexico, Peru and South Africa," Journal of Globalization and Development, De Gruyter, vol. 7(1), pages 17-60, June.
    20. Dominik Bernhofer & Michael Ertl & Katharina Bohnenberger & Franziska Disslbacher & Julia Hofmann & Petra Innreiter & Markus Marterbauer & Patrick Mokre & Matthias Schnetzer, 2022. "Tax me if you can. Potenziale moderner Vermögensbesteuerung in Österreich," Wirtschaft und Gesellschaft - WuG, Kammer für Arbeiter und Angestellte für Wien, Abteilung Wirtschaftswissenschaft und Statistik, vol. 48(2), pages 207-230.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:pal:palcom:v:7:y:2020:i:1:d:10.1057_s41599-020-0514-4. See general information about how to correct material in RePEc.

    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 CitEc recognized a bibliographic reference but did not link an item in RePEc 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 RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Sonal Shukla or Springer Nature Abstracting and Indexing (email available below). General contact details of provider: https://www.nature.com/ .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.