A Note on Interpreting Consumption Tax Incidence in OLG Models: Motives and Obstacles

Niels Kleis Frederiksen*

*Corresponding author af dette arbejde

Publikation: Working paperForskning

81 Downloads (Pure)


This note discusses the generational incidence of consumption taxes in an OLG framework. The objective is to highlight the channels through which an increase in, e.g., a VAT redistributes income across generations. It turns out that with labor supply exogenous VAT incidence is very similar to the impact of a PAYG pension system or government debt.
UdgiverDepartment of Economics. Copenhagen Business School
Antal sider26
StatusUdgivet - 1997
Udgivet eksterntJa
NavnWorking Paper / Department of Economics. Copenhagen Business School