Promoting Growth, Maintaining Progressivity, and Dealing with the Fiscal Crisis: CGE Simulations of a Temporary VAT Used for Debt Reduction
| dc.citation.journalTitle | Public Finance Review | |
| dc.contributor.author | Diamond, John W. | |
| dc.contributor.author | Zodrow, George R. | |
| dc.contributor.org | Tax and Expenditure Policy Program, Baker Institute for Public Policy | |
| dc.date.accessioned | 2013-09-06T19:11:34Z | |
| dc.date.available | 2013-09-06T19:11:34Z | |
| dc.date.issued | 2013 | |
| dc.description.abstract | Trade-offs between economic efficiency, growth, and distributional equity permeate economics, including discussions of tax policy and tax reform. Computable general equilibrium (CGE) modeling is one tool that is often used to estimate the magnitudes of the variables that determine the efficiency, growth, and equity properties of alternative tax reforms. In this article, we report the results of simulations of a CGE model that examines the economic and distributional effects of the enactment in the United States of a temporary value-added tax used to reduce the level of the national debt. The results suggest that such a reform is generally moderately progressive both for cohorts alive at the time of reform and for future generations, at least within the context of lifetime measures of tax burden, and that current middle-aged and elderly generations must bear a burden to confer a gain, relative to the status quo, on younger and future generations. | |
| dc.embargo.terms | none | |
| dc.identifier.citation | Diamond, John W. and Zodrow, George R.. "Promoting Growth, Maintaining Progressivity, and Dealing with the Fiscal Crisis: CGE Simulations of a Temporary VAT Used for Debt Reduction." <i>Public Finance Review,</i> (2013) Sage: http://dx.doi.org/10.1177/1091142113499399. | |
| dc.identifier.doi | http://dx.doi.org/10.1177/1091142113499399 | |
| dc.identifier.uri | https://hdl.handle.net/1911/71874 | |
| dc.language.iso | eng | |
| dc.publisher | Sage | |
| dc.rights | Article is made available in accordance with the publisher's policy and may be subject to US copyright law. Please refer to the publisher's site for terms of use. | |
| dc.subject.keyword | economic growth | |
| dc.subject.keyword | progressivity | |
| dc.subject.keyword | debt reduction | |
| dc.subject.keyword | computable general equilibrium modeling | |
| dc.subject.keyword | value-added taxation | |
| dc.title | Promoting Growth, Maintaining Progressivity, and Dealing with the Fiscal Crisis: CGE Simulations of a Temporary VAT Used for Debt Reduction | |
| dc.type | Journal article | |
| dc.type.dcmi | Text | |
| dc.type.publication | publisher version |