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Die Effekte einer Lohnnebenkostensenkung für die Volkswirtschaft und die Wettbewerbsfähigkeit

Author

Listed:
  • Berger Johannes

    (EcoAustria, Wien, Vienna, Austria)

  • Strohner Ludwig

    (EcoAustria, Wien, Vienna, Austria)

Abstract

The tax and social contribution ratio in Austria is very high by European standards, taxes on income in particular. This is reflected in a very wide tax wedge between labour costs and net income. The particularly high inflation in Austria in recent years has led to high wage increases and a loss of competitiveness. Based on a model analysis, it is shown that a reduction of taxes on the wage-sum by 1.4 % of GDP dampens the development of wage costs and increases employment by around 0.9 % or 40,000 persons. In addition, the reform reduces the GDP deflator by 0.9 to 0.7 percentage points and implies an increase in the real export volume by 1.4 % in the first three years.

Suggested Citation

  • Berger Johannes & Strohner Ludwig, 2024. "Die Effekte einer Lohnnebenkostensenkung für die Volkswirtschaft und die Wettbewerbsfähigkeit," Wirtschaftspolitische Blätter, Sciendo, vol. 2024(1), pages 48-55.
    • Handle: RePEc:vrs:wipobl:v:2024:y:2024:i:1:p:48-55:n:1001
    DOI: 10.2478/wpbl-2024-0001
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    References listed on IDEAS

    as
    1. Berger, Johannes & Strohner, Ludwig, 2020. "Documentation of the PUblic Policy Model for Austria and other European countries (PUMA)," Research Papers 11, EcoAustria – Institute for Economic Research.
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    More about this item

    JEL classification:

    • H20 - Public Economics - - Taxation, Subsidies, and Revenue - - - General
    • H30 - Public Economics - - Fiscal Policies and Behavior of Economic Agents - - - General
    • C68 - Mathematical and Quantitative Methods - - Mathematical Methods; Programming Models; Mathematical and Simulation Modeling - - - Computable General Equilibrium Models

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