Abstract
The design of an optimal fiscal system involves the careful analysis of the efficiency and equity implications of the various alternative policies. The focus of our analysis will be the equity implications of the redistribution of income, resulting from the operation of the fiscal system. The net fiscal system operates through the joint system of taxes and benefits. The measurement of the distributional impact of the net fiscal system is a topic of substantial political and theoretical interest.
I would like to thank Stefano Demichelis, Peter Lambert, Michael Rothschild, Max Stinchcombe and especially Bruno Bises, John Conlisk, Massimo Marrelli and Joel Sobel and an anonymous referee for comments on this and related materials. Responsibility for errors is my own.
This is a preview of subscription content, log in via an institution to check access.
Access this chapter
Tax calculation will be finalised at checkout
Purchases are for personal use only
Preview
Unable to display preview. Download preview PDF.
References
A. B. Atkinson, (1970). On the measurement on inequality, Journal of Economic Theory, vol. 2, pp. 244–263.
A. B. Atkinson, (1980). On intergenerational mobility in Britain, Journal of Post Keynesian Economics, vol. 3, pp. 194–218
A. B. Atkinson, (1983). The measurement of economic mobility, in Essays in Honour of Jan Pen, reprinted in Social Justice and Public Policy, The M. I. T. Press, Cambridge.
J. Broome, (1984). Uncertainty and fairness, Economic Journal, vol. 94, pp. 665–72.
J. Conlisk, (1989). Ranking mobility matrices, Economics Letters, vol. 29, pp. 231–35.
J. Conlisk, (1990). Monotone mobility matrices, Journal of Mathematical Sociology, vol. 15, pp. 173–191.
V. Dardanoni, (1991,a). Monotone mobility matrices and income distribution dominance, mimeo.
V. Dardanoni, (1991,b). Measuring Social Mobility, mimeo.
V. Dardanoni and P. Lambert (1988). Welfare rankings of income distributions: A role for the variance and some insights for tax reform, Social Choice and Welfare, vol. 5, pp. 1–17.
P. Dasgupta, A. K. Sen and D. Starrett, (1973). Notes on the measurement of inequality, Journal of Economic Theory, vol. 6, pp. 180–87.
P. A. Diamond, (1967). Cardinal welfare, individualistic ethics and interpersonal comparisons of utility: A comment, Journal of Political Economy, vol. 75, pp. 765–66.
D. L. Featherman and R. M. Hauser, (1978). Opportunity and change, Academic Press, New York.
M. Friedman, (1962). Capitalism and freedom, University of Chicago Press, Chicago. 54
J. Geweke, R.C. Marshall and G.A. Zarkin, (1986). Mobility indices in continuous time Markov chains, Econometrica, vol. 54, pp. 1407–23.
P. J. Hammond, (1983). Ex-post optimality as a consistent objective for collective choice under uncertainty, in Social Choice and Welfare, ( P. Pattanaik and M. Salles eds.), North Holland Publishing Co., Amsterdam.
J. C. Harsanyi, (1975). Nonlinear social welfare functions: Do welfare economists have a special exemption from bayesian rationality?, Theory and Decision, vol. 6, pp. 311–32.
P.E. Hart, (1980). The statics and dynamics of income distributions: A survey, in The Statics and Dynamics of Income, (W.A. Klevmarken and J.A. Lybeck, eds. ), Tieto.
P.J. Lambert (1989). The distribution and redistribution of income, Basil Blackwell, Oxford.
S. M. R. Kanbur and J. E. Stiglitz, (1986). Intergenerational mobility and dynastic inequality, Woodrow Wilson Discussion Paper n. 111.
S. M. R. Kanbur and J. O. Stromberg, (1988). Income transitions and income distribution dominance, Journal of Economic Theory, vol. 45, pp. 408–16.
J. Keilson and A. Kester, (1977). Monotone matrices and monotone Markov chains, Stochastic Processes and Their Applications, vol. 5, pp. 231–41.
J. G. Kemeny and J. L. Snell, (1976). Finite Markov chains, Springer, New York, 1976.
S-C. Kolm, (1976). Unequal inequalities II, Journal of Economic Theory, vol. 13, pp. 82–111.
M. Rothschild and J. Stiglitz, (1973). Some further results on the measurement of inequality, Journal of Economic Theory, vol. 6, pp. 188–204.
A.K. Sen, (1973). On economic inequality, Clarendon Press, Oxford.
A.F. Shorrocks, (1983). Ranking income distributions, Economica, vol. 50, pp. 1–17.
Author information
Authors and Affiliations
Editor information
Editors and Affiliations
Rights and permissions
Copyright information
© 1993 Springer Science+Business Media Dordrecht
About this chapter
Cite this chapter
Dardanoni, V. (1993). The Fiscal System and the Dynamic Redistribution of Income. In: Galeotti, G., Marrelli, M. (eds) Design and Reform of Taxation Policy. Financial and Monetary Policy Studies, vol 25. Springer, Dordrecht. https://doi.org/10.1007/978-94-015-7965-0_2
Download citation
DOI: https://doi.org/10.1007/978-94-015-7965-0_2
Publisher Name: Springer, Dordrecht
Print ISBN: 978-90-481-4216-3
Online ISBN: 978-94-015-7965-0
eBook Packages: Springer Book Archive