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Latvia Stumbling Towards Progressive Income Taxation by Alf Vanags and Anna Zasova (BICEPS).
The 2016 budget includes measures aimed at increasing the progressivity of the Latvian income tax system. In this brief we report some exercise on the impact of these measures using the Latvian EUROMOD tax-benefit microsimulation model. We show that by their design, the reforms are aimed at a reduction in income inequality and an increase in the progressivity of the tax system. However, there are risks that the behavioural response of the tax payers will subvert the intended impact of the reforms.
Speaker: Stefanie Peer (WU Vienna University of Economics and Business)
Joint BICEPS and SSE Riga Seminar Series welcomes researchers working on theoretical or empirical topics in all fields, but especially on transitional economies. If you are interested in presenting your research in our research seminar series, please e-mail your proposal to Anna Zasova at firstname.lastname@example.org and Anna Pluta at email@example.com.