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Optimal Fiscal Policy with Epstein-Zin Preferences and Utility-Enhancing Government Services: Lessons from Bulgaria (1999-2016)

机译:与Epstein-Zin偏好和公用事业加强政府服务的最佳财政政策:保加利亚的课程(1999-2016)

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摘要

This article compares and contrasts exogenous (observed) and optimal fiscal policy in an economy with Epstein-Zin (1989, 1991) preferences, with consumption tax, and with a common income tax, using a dynamic general-equilibrium model, calibrated for Bulgarian data (1999-2016). The focus is on the relative importance of consumption versus income taxation, as well as on the provision of utility-enhancing public services. The main findings are: (ⅰ) The optimal steady-state income tax rate is zero.(ⅱ) The benevolent Ramsey planner sets optimally the utility-enhancing public services, which are now 25% higher. (ⅲ) The optimal steady-state consumption tax is approximately 50% higher.
机译:本文与Epstein-Zin(1989,1991)偏好,消费税和常见的所得税,使用动态通用均衡模型,对经济的偏好进行比较和对比和对比和对比,并以普通的通用均衡模型进行竞争。 (1999-2016)。 重点是对消费与所得税的相对重要性,以及提供公共服务的提供。 主要研究结果是:(Ⅰ)最佳稳态所得税税率为零。(Ⅱ)仁慈Ramsey Planner最佳地套装公共服务,现在较高25%。 (Ⅲ)最佳稳态消费税率高约50%。

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