The Productivity Effects of Selective Employment Tax

In: National Institute economic review: journal of the National Institute of Economic and Social Research, Band 58, S. 72-75

Abstract

Our original note on the effects of the imposition of Selective Employment Tax (SET) was published as a background to the judgement expressed in the same number of the National Institute Economic Review that the reduction and removal of the tax would not have significant adverse effects upon productivity in distribution. Professor Reddaway's subsequent Reply gives general support to this judgement, which we are pleased to have. The difference between him and ourselves is solely concerned with the effects of the original imposition and subsequent increase of SET, which, we had argued, were smaller than appeared to be implied by the Reddaway Report.