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Public Finance and Public Policy First Edition Chapter 25: Fundamental Tax Reform Copyright © 2005 by Worth Publishers Jonathan Gruber

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Page 1: Public Finance and Public Policyweb.mit.edu/14.41/www/ch25.pdf · • TABLE 25-1 Simplicity Advantages of a Flat Tax Current tax system Gross income (wages, interest, etc.) Deductions

Public Finance and Public PolicyFirst Edition

Chapter 25:Fundamental Tax Reform

Copyright © 2005 by Worth Publishers

Jonathan Gruber

Page 2: Public Finance and Public Policyweb.mit.edu/14.41/www/ch25.pdf · • TABLE 25-1 Simplicity Advantages of a Flat Tax Current tax system Gross income (wages, interest, etc.) Deductions

Figure 25.1 Optimal Tax EvasionGruber: Public Finance and Public Policy, First EditionCopyright © 2005 by Worth Publishers

Page 3: Public Finance and Public Policyweb.mit.edu/14.41/www/ch25.pdf · • TABLE 25-1 Simplicity Advantages of a Flat Tax Current tax system Gross income (wages, interest, etc.) Deductions

Table 25.1Gruber: Public Finance and Public Policy, First EditionCopyright © 2005 by Worth Publishers

Page 4: Public Finance and Public Policyweb.mit.edu/14.41/www/ch25.pdf · • TABLE 25-1 Simplicity Advantages of a Flat Tax Current tax system Gross income (wages, interest, etc.) Deductions

Figure 25.2 Changes in the Tax Base as Tax Rates RiseGruber: Public Finance and Public Policy, First EditionCopyright © 2005 by Worth Publishers

Page 5: Public Finance and Public Policyweb.mit.edu/14.41/www/ch25.pdf · • TABLE 25-1 Simplicity Advantages of a Flat Tax Current tax system Gross income (wages, interest, etc.) Deductions

Table 25.2Gruber: Public Finance and Public Policy, First EditionCopyright © 2005 by Worth Publishers

Page 6: Public Finance and Public Policyweb.mit.edu/14.41/www/ch25.pdf · • TABLE 25-1 Simplicity Advantages of a Flat Tax Current tax system Gross income (wages, interest, etc.) Deductions

Figure 25.3 Consumption Taxation in OECD NationsGruber: Public Finance and Public Policy, First EditionCopyright © 2005 by Worth Publishers

Page 7: Public Finance and Public Policyweb.mit.edu/14.41/www/ch25.pdf · • TABLE 25-1 Simplicity Advantages of a Flat Tax Current tax system Gross income (wages, interest, etc.) Deductions

Table 25.3Gruber: Public Finance and Public Policy, First EditionCopyright © 2005 by Worth Publishers

Page 8: Public Finance and Public Policyweb.mit.edu/14.41/www/ch25.pdf · • TABLE 25-1 Simplicity Advantages of a Flat Tax Current tax system Gross income (wages, interest, etc.) Deductions

Table 25.4Gruber: Public Finance and Public Policy, First EditionCopyright © 2005 by Worth Publishers

Page 9: Public Finance and Public Policyweb.mit.edu/14.41/www/ch25.pdf · • TABLE 25-1 Simplicity Advantages of a Flat Tax Current tax system Gross income (wages, interest, etc.) Deductions

Table 25.5Gruber: Public Finance and Public Policy, First EditionCopyright © 2005 by Worth Publishers