Market and Non-market Labor Supply and Recent German Tax Reform Impacts - Behavioral Response in a Combined Dynamic and Static Microsimulation Model
Abstract
This study on market and non-market labor supply and taxes is based on a theoretical microeconomic model with multiple labor supply in the formal and informal economy. This multiple time allocation model, which explicitly takes into account taxes, transfer payments, socioeconomic characteristics of the individual and the household, is specified in a multiple three-stage approach explaining the participation probability, the relevant wages and the hours of work in different activities. Uncompensated and compensated elasticities on market and non-market labor supply are computed. The estimates are based on data from the enlarged Sfb 3-Secondary Occupation Survey 1984, enlarged by tax and regional information for the economic situation and labor demand consideration. This microanalysis will follow the substantial question whether incentive or disincentive labor supply effects of the 1990 German tax reform are to be expected. The recent German Tax reform impacts are quantified by a combined dynamic and static microsimulation approach based on microeconometric estimated behavioral pattern representative for the Federal Republic of Germany.Download Info
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Paper provided by University Library of Munich, Germany in its series MPRA Paper with number 7235.Length:
Date of creation: Dec 1993
Date of revision:
Handle: RePEc:pra:mprapa:7235
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Keywords: behavioural effects;Other versions of this item:
- Joachim Merz, 1993. "Market and Non-market Labor Supply and Recent German Tax Reform Impacts - Behavioral Response in a Combined Dynamic and Static Microsimulation Model," FFB-Discussionpaper 06, Research Institute on Professions (Forschungsinstitut Freie Berufe (FFB)), LEUPHANA University Lüneburg.
- D13 - Microeconomics - - Household Behavior - - - Household Production and Intrahouse Allocation
- J22 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Time Allocation and Labor Supply
- H24 - Public Economics - - Taxation, Subsidies, and Revenue - - - Personal Income and Other Nonbusiness Taxes and Subsidies
- C81 - Mathematical and Quantitative Methods - - Data Collection and Data Estimation Methodology; Computer Programs - - - Methodology for Collecting, Estimating, and Organizing Microeconomic Data
- H26 - Public Economics - - Taxation, Subsidies, and Revenue - - - Tax Evasion
- C80 - Mathematical and Quantitative Methods - - Data Collection and Data Estimation Methodology; Computer Programs - - - General
- J20 - Labor and Demographic Economics - - Demand and Supply of Labor - - - General
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Citations
Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.Cited by:
- Joachim Merz, 1995.
"MICSIM - Concept, Developments and Applications of a PC-Microsimulation Model for Research and Teaching,"
FFB-Discussionpaper
14, Research Institute on Professions (Forschungsinstitut Freie Berufe (FFB)), LEUPHANA University Lüneburg.
- Merz, Joachim, 1995. "MICSIM : Concept, Developments and Applications of a PC-Microsimulation Model for Research and Teaching," MPRA Paper 16029, University Library of Munich, Germany.
- Ulrich Widmaier & Hiltrud Niggemann & Joachim Merz, 1994.
"What makes the Difference between Unsuccessful and Successful Firms in the German Mechanical Engineering Industry?,"
FFB-Discussionpaper
11, Research Institute on Professions (Forschungsinstitut Freie Berufe (FFB)), LEUPHANA University Lüneburg.
- Widmaier, Ulrich & Niggemann, Hiltrud & Merz, Joachim, 1994. "What makes the Difference between Unsuccessful and Successful Firms in the German Mechanical Engineering Industry?," MPRA Paper 7230, University Library of Munich, Germany.
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