Revealed Social Preferences of Dutch Political Parties
Tuesday May 22nd, Egbert Jongen (CPB) will present "Revealed Social Preferences of Dutch Political Parties".
Time: 2012, Tuesday May 22nd, 13.00-14.00 hours
Location: CPB-office, Van Stolkweg 14, The Hague
Presentation: Egbert Jongen (CPB)
Discussant: Paul Tang (Boer & Croon)
Registration: Please register by sending an email to email@example.com.
Abstract subject: Since 1986, in a process unique in the world, all major Dutch political parties provide CPB Netherlands Bureau for Economic Policy Analysis (CPB) with their detailed reform proposals for the tax-benefit system for every national election. CPB then calculates and reports the simulated income, budgetary and behavioral effects of these reform packages, which subsequently play an important role in the election campaigns in the run up to the national elections. The detailed reform proposals provide us with a unique opportunity to study the redistributive preferences of political parties. We use the inverse method of optimal tax theory to find the social welfare weights implicit in the reform proposals, combining the reform proposals with micro data on the income distribution and the elasticity of the tax base in the Netherlands. Our main findings are: i) all parties give a higher social weight to the poor than the rich, ii) left-wing parties give a higher social weight to the poor and a lower social weight to the rich than right-wing parties, iii) all parties, including the right-wing parties, give a negative social weight to the rich (all top rates are set beyond the top of the Laffer curve), iv) all parties give a higher weight to middle incomes than low incomes, in particular left-wing parties (there seems to be a bias in redistribution from the poor to the median), and v) the differences between social welfare weights are rather small which may indicate status quo bias or post-election coalition considerations.
CPB organises seminars for researchers. During these seminars, always held on Tuesday from 1.00 pm. to 2.00 pm., academic papers are presented and discussed. Read here how to subscribe (or unsubscribe) to our alert service (CPB Calendar).
CPB also organises Policy seminars for policy makers, researchers and other stakeholders. These Policy seminars focus on policy implications. Policy seminars are held on Thursday from 1.00 pm. to 2.00 pm. Read here how to subscribe (or unsubscribe) to our alert service (CPB Calendar).