Sara Torregrosa Hetland
Senior lecturer
Political transition and fiscal transition in Spain
Author
Summary, in English
After the tax reform undertaken in Spain between 1977 and 1986, the practical results in terms of progressivity and redistribution were not outstanding. Inequality did not significantly decrease after the transition to democracy, as political economy literature would suggest. In recent times, the system has shown its incapacity to sustain European-level welfare services. But why?
This paper analyses the main contenders which might explain the issue: ideologies and the decision-making institutions. Perhaps the general citizen – or the decisive voter – was not so keen on redistribution. Alternatively, the political system may not translate effectively the public stances onto policies. Some of these elements were significantly modified during the political transition. Others were affected by international developments, such as the general change of emphasis from equity to efficiency in tax system design, and the higher capacity of capital to escape from taxation, by means of mobility.
This paper analyses the main contenders which might explain the issue: ideologies and the decision-making institutions. Perhaps the general citizen – or the decisive voter – was not so keen on redistribution. Alternatively, the political system may not translate effectively the public stances onto policies. Some of these elements were significantly modified during the political transition. Others were affected by international developments, such as the general change of emphasis from equity to efficiency in tax system design, and the higher capacity of capital to escape from taxation, by means of mobility.
Department/s
- Department of Economic History
Publishing year
2015
Language
English
Document type
Conference paper
Topic
- Economic History
Keywords
- redistribution
- tax reform
- Public policy
Conference name
XVIIth World Economic History Congress, 2015
Conference date
2015-08-03 - 2015-08-07
Conference place
Kyoto, Japan
Status
Unpublished