Thisbookisacollectionofeightpapersthatwerepublished in aspecial symposium issueofEmpirical Economicsdur- ing 1999. These papers cover several areasofinterest in contemporary public economics, including tax incidence, underground economy, welfare system, fiscal federalism, public infrastructure and the growth of government. The contributionsutilizeavarietyofquantitativetoolsofanaly- sis, includingappliedeconometrics, appliedgeneralequilib- rium modeling analysis, technical efficiency analysis and institutional analysis. The introductory essay in the book summarizes the contributionsofapplied public economics papers inthisbookandplacesthem inabroadercontextof modempublicfinanceeconomictheory.Theobjectiveofthe bookistomaketheseessaysavailableinaconvenientform toscholarsandstudentsengaged inresearchonpublic pol- icytopicsaswell astoinstructorsofcoursesinpubliceco- nomics, both undergraduate and graduate. A briefmotiva- tionforthebookisgivenbelow. Thestudyofpubliceconomicshasexperiencedanumber of dramatic changes during the past two decades. These changes have revolutionized, in a fundamental way, the subjectofpublic economics. This is due largely to several majordevelopments ineconomictheory, includingtheroles ofinformation theory and game theory along with its de- rivative theories, such as designofinstitutions as well as inter-temporal analysis. These economic theory develop- ments have altered in a fundamental way the way econo- mists and policy analysts perceive the roleofgovernment. Alsothesedevelopmentshavecalledintoquestiontheabil- ityofgovernmentstocarryoutsomeofitstraditionaltasks, particularly the efficient design of redistribution and tax systems. The theoretical research in public economics has contributedtothedevelopmentofnew instrumentsand ap- proaches to tackle problemsofeconomic policy in a more effectivemanner.Giventhattheevaluationofpolicyoptions requiresasoundunderstandingofboththenatureandmag- nitudeofeconomic, behaviouralandinstitutionalconstraints Preface VI thatarefaced bygovernments, there isaneedforempirical analysisofunderlyingpolicyquestionsandissues. Thiscollectionofessays on empirical finance indicates thatempiricalassessmentispossibleusingarichanddiverse setofempirical approaches. The various papers exemplify someofthevarioustechniquesthatcan beused byapplied researchersforsheddinglightonthequestionsofinterestin appliedpublicfinanceanditsapplications.
This paper discusses how decentralized countries can achieve sound fiscal relations between the central government and lower government levels. The concepts of “vertical gap” and “vertical balance” provide an analytical framework for identifying and addressing key challenges. These concepts can help policymakers ensure that the financing of subnational governments (composed of transfers received from the center, own revenues, and borrowing) is both efficient and adequate given the allocation of spending responsibilities. More generally, the paper offers some perspectives about the optimal design of decentralization systems by examining the sequencing and economic principles underlying revenue and expenditure assignments, the use of transfers, and borrowing.
In A History of Canadian Economic Thought, Robin Neill relates the evolution of economic theory in Canada to the particular geographical and political features of the country. Whilst there were distinctively Canadian economic discourses in nineteenth-century Ontario and early twentieth-century Quebec, Neill argues that these have now been absorbed
Tax policies are informed by principles developed in the tax theory and policy literature. This Element surveys the policy lessons that emerge from optimal tax analysis since the 1970s. This Element begins with the evolution of tax policy principles from the comprehensive income approach to the expenditure tax approach to normative tax analysis based on social welfare maximization and recounts key results from the optimal income tax analysis inspired by Mirrlees and extended by Diamond to the extensive margin approach. This Element also emphasizes analytical techniques that yield empirically relevant concepts and show the equity-efficiency trade-off at the heart of tax policy. We also extend the analysis to recent literature incorporating involuntary unemployment, and policies like welfare and unemployment insurance.
A song for my son, was written for you change the name and see what kids do. Imaginations are far and few have fun with them also becomes fun for you With learning or play sing kids a song it makes fun for the day. If you rock them to sleep or comfort a fall sooth a baby's belly, a song will cure it all.
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