Inequality in spending and redistributive effects of taxes: An application for Argentina

Authors

DOI:

https://doi.org/10.52292/j.estudecon.2024.4161

Keywords:

desigualdad, gasto, descomposición, coeficiente de Gini, redistribución

Abstract

This study aims to contribute to the literature on inequality for Argentina, analyzing inequality in household spending and evaluating the redistributive effects of taxes and price subsidies by product category. To do this, the relative contribution of the different components of spending to global inequality is considered, by reducing the Gini index. The proposal of Lerman and Yitzhaki (1984) is based on the Household Expenditure Survey for the years 2017-2018. The results show that spending in the food, beverage, and housing categories explain more than a third of total spending inequality. In addition, the analysis of the relative marginal effects and elasticities indicate that subsidies for food and beverages, housing and clothing and footwear, as well as taxes on spending on household equipment and maintenance, leisure and culture, and health could improve the distribution of well-being.

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Published

2024-01-05

How to Cite

Costa de Arguibel, F., Sánchez Vargas, I., & Silva, T. E. (2024). Inequality in spending and redistributive effects of taxes: An application for Argentina. Estudios económicos, 41(82), 251–271. https://doi.org/10.52292/j.estudecon.2024.4161

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Articles