Regional Income Redistribution and Risk Sharing: How Does Italy Compare in Europe?

Author/Editor:

Jörg Decressin

Publication Date:

September 1, 1999

Electronic Access:

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Disclaimer: This Working Paper should not be reported as representing the views of the IMF.The views expressed in this Working Paper are those of the author(s) and do not necessarily represent those of the IMF or IMF policy. Working Papers describe research in progress by the author(s) and are published to elicit comments and to further debate

Summary:

This paper investigates income redistribution and risk sharing among Italy’s regions and the implications for public policy. Using a richer data set than in previous works, this study allows for an assessment of public consumption’s and investment’s roles. The findings suggest that Italy’s fiscal system provides interregional redistribution at 30–35 percent and risk sharing at 20–30 percent of GDP, mainly through public consumption. Compared with results in the literature for other European countries, there appears to be less redistribution and risk sharing in Italy through its welfare and tax systems because of their different structures.

Series:

Working Paper No. 1999/123

Subject:

Consumption Disposable income Expenditure Fiscal policy Fiscal stance National accounts Personal income Social assistance spending

English

Publication Date:

September 1, 1999

ISBN/ISSN:

9781451854596/1018-5941

Stock No:

WPIEA1231999

Pages:

34

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