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A Contribution Towards the New Zealand's Tax Reform

Author

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  • B. Laabas
  • W. A. Razzak

Abstract

We use the work-leisure choice model to estimate equilibrium labour supply (hours-worked) in New Zealand and Australia over the period 2000 – 2008. We then stochastically solve the model over a future period from 2010 to 2015, and then re-solve it under six different tax policy scenarios for New Zealand. We evaluate the welfare and relative productivity implications of each policy.

Suggested Citation

  • B. Laabas & W. A. Razzak, 2010. "A Contribution Towards the New Zealand's Tax Reform," EERI Research Paper Series EERI_RP_2010_35, Economics and Econometrics Research Institute (EERI), Brussels.
    • Handle: RePEc:eei:rpaper:eeri_rp_2010_35
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    File URL: http://www.eeri.eu/documents/wp/EERI_RP_2010_35.pdf
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    JEL classification:

    • C63 - Mathematical and Quantitative Methods - - Mathematical Methods; Programming Models; Mathematical and Simulation Modeling - - - Computational Techniques
    • E62 - Macroeconomics and Monetary Economics - - Macroeconomic Policy, Macroeconomic Aspects of Public Finance, and General Outlook - - - Fiscal Policy; Modern Monetary Theory
    • J22 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Time Allocation and Labor Supply

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