Social security, taxation and inequality
Research in this area focuses on the effects of social security and taxation on the labour market and income distribution.
Social security and taxation crucially affect households’ disposable incomes and thereby wellbeing. Changes in social transfers or taxation directly affect income generation and income distribution. These may additionally have various behavioural impacts, inter alia on labour supply. The key premise is to do research that supports decision-making, applying both micro simulation and micro econometric methods.
Various projects are ongoing in the research theme on the effects of policy changes in taxation and social transfers.
Current research topics include:
- effects of unemployment benefits: how the eligibility conditions of earnings-related unemployment benefits and income security allowances affect the duration of unemployment and job quality following unemployment;
- underuse of social security: we research guaranteed pensions, their underuse and whether the information provided on guarantee pensions affects different people differently;
- income mobility, poverty and social inequality: a number of our researchers are involved in the multiannual Work, Inequality and Public Policy project funded by the Academy of Finland.
- Long-term effects of extended unemployment benefits for older workers
- Estimating the effects of potential benefit duration without variation in the maximum duration of unemployment benefits
- The spike at benefit exhaustion in the Finnish labor market
- Housing allowance and rents: Evidence from a stepwise subsidy scheme
- How do small firms respond to tax schedule discontinuities? Evidence from South African tax registers
- Kaisa Kotakorpi appointed research professor at VATT
29.8.2017 Press release
- Should the top income tax rate be lowered?
- Housing allowance has less impact on rents than previously believed
31.5.2017 Press release
- Doctoral dissertation: Tax expenditures as government’s policy tool and economic instrument
- VAT turnover threshold keeps firms small – mainly due to compliance costs
14.6.2016 Press release