ISSN:
1573-6970
Keywords:
international commodity taxation
;
applied general equilibrium
Source:
Springer Online Journal Archives 1860-2000
Topics:
Economics
Notes:
Abstract A switch from the current destination-based value-added taxation to an origin-based consumption tax will not be neutral in a world economy with international capital mobility and overlapping generations. This paper evaluates the macroeconomic and welfare effects of such a multilateral reform in a two-region, intertemporal general equilibrium model. The analysis isolates and quantifies income effects due to changes in generations' tax burdens, factor price repercussions and initial asset price adjustments, as well as efficiency effects that arise from endogenous labor supply and short run savings responses in a numerical simulation exercise.
Type of Medium:
Electronic Resource
URL:
http://dx.doi.org/10.1023/A:1008754029145
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