Should the US streamline its tax system: an analysis on an endogenous growth model

Gómez, M., T.N. Sequeira , (2014) , "Should the US streamline its tax system: an analysis on an endogenous growth model" , Economic Modelling , 37 , 113-119 .
Abstract

We evaluate the growth and welfare effects of budget-neutral reforms in the US tax system. Large gains in welfare and growth could result from adopting a consumption-based tax system. In contrast, significant welfare and growth losses would follow after implementing an income tax-based reform. Eliminating double taxation of firms' profits would yield non-negligible welfare and growth gains.

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