Some Macroeconomic Consequences of Basic Income and Employment Subsidies

Arbeitspapier

Two macro models - one for a closed economy and the other for a small open economy - are used to examine the scope for income redistribution and employment creation. In particular, the introduction of both a guaranteed annual income (basic income) and an employment subsidy are examined, and these policies are compared to a straightforward tax cut for (unskilled) labour. All initiatives are financed by a tax on capital. In the open-economy setting, capital is perfectly mobile, so there is a trade-off between the direct benefits of each policy, and the costs that follow from the out-migration of capital. The model is used to assess the relative importance of these competing effects.

Objekt anzeigen

• Sprache: Englisch

Verweise und Beziehungen

• Erschienen in: Series: CESifo Working Paper ; No. 916

Klassifikation und Themen

• Klassifikation: Wirtschaft
• Thema: guaranteed annual income ; subsidies ; capital taxes ; redistribution.

Beteiligte, Orts- und Zeitangaben

• Ereignis: Geistige Schöpfung
• (wer): Moutos, Thomas ; Scarth, William
• Ereignis: Veröffentlichung
• (wer): Center for Economic Studies and ifo Institute (CESifo)
• (wo): Munich
• (wann): 2003

Weitere Informationen

• Handle: http://hdl.handle.net/10419/76418