TAX POLICY IN OECD COUNTIES

V. Challenges for Tax Policy in Oecd Countries

Tax design needs to balance considerations of economic efficiency, equity and enforceability Modern OECD economies have fundamental economic and social objectives that require public spending. This in turn must be financed mainly through taxation. However, because taxation inevitably impinges on most aspects of economic activity, careful consideration must be given to its design – in addition t...

OECD Trade Policy Working

Increased global integration affects groups of individuals differently. This paper examines ways in which greater integration through trade impacts women and men differently, and ensuing implications for growth. The paper finds that trade creates jobs for women in export-oriented sectors. Jobs that bring more household resources under women’s control lead to greater investments in the health an...

Tax Policy and Firm Entry and Exit Dynamics: Evidence from OECD Countries

In this paper we study the effects of reforms to corporate and personal income taxation on the rate of firm entry and exit using industry data for 19 OECD countries from 1998 to 2005. Using a difference-in-differences approach to correct for endogeneity bias we find that increases in corporate taxation affect entry but not exit. This drop in entry is statistically and economically significant, ...

Tax decentralization and public deficits in OECD countries

This article explores the effect of sub-national tax autonomy and sub-national control over shared taxes on primary deficits with panel data for 23 OECD countries over the 1975-2000 period. The results suggest that sub-national tax autonomy has a U-shaped effect on primary deficits. We find that the “average” country in the sample could increase the fiscal stability of its public sector by redu...

Health tax policy mismatch.