The impact of the COVID-19 crisis on income distribution under different protection schemes: the case of Spain
I use household survey data to microsimulate the impact of the COVID-19 crisis on income distribution in Spain. I estimate the cost of potential lockdowns under three different low-income public protection schemes. Results show that although the COVID-19 shock has reduced income for all deciles of t...
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| Format: | Article |
| Language: | English |
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Institute of Public Finance
2021-12-01
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| Series: | Public Sector Economics |
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| Online Access: |
http://www.pse-journal.hr/upload/files/pse/2021/4/6.pdf
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| _version_ | 1818402483185123328 |
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| author | Gonzalo Gómez Bengoechea |
| author_facet | Gonzalo Gómez Bengoechea |
| author_sort | Gonzalo Gómez Bengoechea |
| collection | DOAJ |
| description | I use household survey data to microsimulate the impact of the COVID-19 crisis on income distribution in Spain. I estimate the cost of potential lockdowns under three different low-income public protection schemes. Results show that although the COVID-19 shock has reduced income for all deciles of the income distribu¬tion, the losses are not uniformly distributed. The worst economic effects of the pandemic are not on the poorest, but on individuals in the middle and wealthy groups of the ex-ante income distribution. Low-income benefits help to moderate income losses and to curb poverty and inequality at various levels. It might be necessary to raise taxes and to resort to expenditure reducing policies to maintain protection in the context of contraction and lower government revenues. |
| first_indexed | 2024-12-14T08:09:05Z |
| format | Article |
| id | doaj.art-27a0d55138d44cb984854100e69b15a9 |
| institution | Directory Open Access Journal |
| issn | 2459-8860 |
| language | English |
| last_indexed | 2024-12-14T08:09:05Z |
| publishDate | 2021-12-01 |
| publisher | Institute of Public Finance |
| record_format | Article |
| series | Public Sector Economics |
| spelling | doaj.art-27a0d55138d44cb984854100e69b15a92022-12-21T23:10:06ZengInstitute of Public FinancePublic Sector Economics2459-88602021-12-0145451754110.3326/pse.45.4.68127The impact of the COVID-19 crisis on income distribution under different protection schemes: the case of SpainGonzalo Gómez Bengoechea0 Universidad Pontificia Comillas - ICADE, Madrid, Spain I use household survey data to microsimulate the impact of the COVID-19 crisis on income distribution in Spain. I estimate the cost of potential lockdowns under three different low-income public protection schemes. Results show that although the COVID-19 shock has reduced income for all deciles of the income distribu¬tion, the losses are not uniformly distributed. The worst economic effects of the pandemic are not on the poorest, but on individuals in the middle and wealthy groups of the ex-ante income distribution. Low-income benefits help to moderate income losses and to curb poverty and inequality at various levels. It might be necessary to raise taxes and to resort to expenditure reducing policies to maintain protection in the context of contraction and lower government revenues. http://www.pse-journal.hr/upload/files/pse/2021/4/6.pdf fiscal incidence; inequality; poverty; social spending; covid; spain |
| spellingShingle | Gonzalo Gómez Bengoechea The impact of the COVID-19 crisis on income distribution under different protection schemes: the case of Spain Public Sector Economics fiscal incidence; inequality; poverty; social spending; covid; spain |
| title | The impact of the COVID-19 crisis on income distribution under different protection schemes: the case of Spain |
| title_full | The impact of the COVID-19 crisis on income distribution under different protection schemes: the case of Spain |
| title_fullStr | The impact of the COVID-19 crisis on income distribution under different protection schemes: the case of Spain |
| title_full_unstemmed | The impact of the COVID-19 crisis on income distribution under different protection schemes: the case of Spain |
| title_short | The impact of the COVID-19 crisis on income distribution under different protection schemes: the case of Spain |
| title_sort | impact of the covid 19 crisis on income distribution under different protection schemes the case of spain |
| topic | fiscal incidence; inequality; poverty; social spending; covid; spain |
| url |
http://www.pse-journal.hr/upload/files/pse/2021/4/6.pdf
|
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