Factor Mobility and Fiscal Policy in the EU: Policy Issues and Analytical Approaches


Wildasin, David E.


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URL: http://ub-madoc.bib.uni-mannheim.de/609
URN: urn:nbn:de:bsz:180-madoc-6091
Dokumenttyp: Arbeitspapier
Erscheinungsjahr: 1999
Sprache der Veröffentlichung: Englisch
Einrichtung: Sonstige Einrichtungen > Zentrum für Europ. Wirtschaftsforschung (ZEW)
MADOC-Schriftenreihe: Veröffentlichungen des ZEW (Zentrum für Europäische Wirtschaftsforschung) > ZEW Discussion Papers
Fachgebiet: 330 Wirtschaft
Normierte Schlagwörter (SWD): Europäische Union , Spende , Steuerpolitik , Wirtschaftliche Integration
Abstract: This paper outlines some of the implications of factor market integration for fiscal policy in the countries of the EU and for the EU itself. It draws particular attention to the dynamic dimensions of factor market integration, and identifies some of the many issues for further research on these topics. The past century has seen dramatic growth in the role of the public sector in the countries of Western Europe, both by extensive regulatory as well as fiscal interventions. By far the most important reason for the growth of public spending has been the increase in the level of redistributive (or social insurance) activities of governments. These include public pension systems and health care programs as well as a host of other policies. Tax policies also have the effect of redistributing income among different groups. European economic integration, including prospective enlargement of the EU, contributes to the freer movement of factors of production, such as labor and capital, both within the EU and between the EU and neighboring regions. Integration of factor markets affects the distribution of income and factor movements depend on fiscal incentives, affecting the benefits and costs of redistributive policies.
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Wildasin, David E. (1999) Factor Mobility and Fiscal Policy in the EU: Policy Issues and Analytical Approaches. [Arbeitspapier]
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