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The role of tax policy in times of fiscal consolidation

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  • Savina Princen
  • Gilles Mourre

Abstract

The paper consists in the proceedings of the workshop organised by the Directorate General for Economic and Financial Affairs held in Brussels on 18 October 2012. Against the background of severe consolidation needs in many EU Member States, the workshop addressed the macroeconomic impact and redistributive effects of consolidation measures on the revenue side, two topics ranking high on the current taxation policy agenda. The proceedings gather together the views of academics, national policy-makers and international institutions expressed during the conference. The presentations and discussions in the first session touched upon the balance between current consolidation measures and their medium-term effects. It also provided insights from macroeconomic modelling to design tax consolidation policy and looked into ways to measure consolidation efforts on the tax side. The second session discussed the best tax bases to be used to safeguard social equity and considered income and capital tax options to make the richest contribute to meeting fiscal adjustment needs. Country-specific presentations showed how tax measures were used for consolidation purposes and looked into various experiences in distributing income through the tax system.

Suggested Citation

  • Savina Princen & Gilles Mourre, 2013. "The role of tax policy in times of fiscal consolidation," European Economy - Economic Papers 2008 - 2015 502, Directorate General Economic and Financial Affairs (DG ECFIN), European Commission.
    • Handle: RePEc:euf:ecopap:0502
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    Citations

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    Cited by:

    1. Florian Wöhlbier & Caterina Astarita & Gilles Mourre, 2018. "Growth†Friendly Tax Structures: An Indicator†Based Approach," German Economic Review, Verein für Socialpolitik, vol. 19(1), pages 32-73, February.
    2. European Commission, 2013. "Tax reforms in EU Member States - Tax policy challenges for economic growth and fiscal sustainability – 2013 Report," Taxation Papers 38, Directorate General Taxation and Customs Union, European Commission.
    3. Gilles Mourre, 2013. "Tax Policy Challenges in EU Countries: A Few Lessons from the 2012 Commission Tax Reform Report and the European Semester," The Economic and Social Review, Economic and Social Studies, vol. 44(4), pages 489-510.
    4. Bletzinger, Tilman & Lalik, Magdalena, 2017. "The impact of constrained monetary policy on fiscal multipliers on output and inflation," Working Paper Series 2019, European Central Bank.
    5. Bernardi, Luigi, 2014. "Tax reforms in EU Member States subce rhe turn of the New centuri: selected observations," MPRA Paper 56856, University Library of Munich, Germany.
    6. Rajmund MIRDALA, 2016. "Effects of Fiscal Policy Shocks in the Euro Area Lessons Learned from Fiscal Consolidation," Journal of Advanced Research in Law and Economics, ASERS Publishing, vol. 7(8), pages 2236-2276.
    7. Florian Wöhlbier & Caterina Astarita & Gilles Mourre, 2014. "Consolidation on the revenue side and growth-friendly tax structures: an indicator based approach," European Economy - Economic Papers 2008 - 2015 513, Directorate General Economic and Financial Affairs (DG ECFIN), European Commission.
    8. Kalaš Branimir & Andrašić Jelena & Pjanić Miloš, 2016. "Aspect of Fiscal Consolidation: Evidence from Serbia," The European Journal of Applied Economics, Sciendo, vol. 13(2), pages 21-29, October.
    9. Luigi Bernardi, 2014. "Tax Reforms in the EU Member States Since the Turn of the New Century: Selected Observations," Working papers 2, Società Italiana di Economia Pubblica.

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    More about this item

    JEL classification:

    • E62 - Macroeconomics and Monetary Economics - - Macroeconomic Policy, Macroeconomic Aspects of Public Finance, and General Outlook - - - Fiscal Policy; Modern Monetary Theory
    • H24 - Public Economics - - Taxation, Subsidies, and Revenue - - - Personal Income and Other Nonbusiness Taxes and Subsidies
    • H26 - Public Economics - - Taxation, Subsidies, and Revenue - - - Tax Evasion and Avoidance

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