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The adoption of the value-added tax the Democratic Republic of Congo in 2012 led to price increases that are thought to adversely affect the welfare of most Congolese households. To date, research has not yet examined the poverty and distributional impacts of this tax reform. Using data from the 2012 Living Standards Measurement Survey, this paper investigates whether the current value-added tax regime, with its exemptions, is progressive. Relying on the Quadratic Almost Ideal Demand System and several welfare measures, the analysis finds that the adoption of the value-added tax erodes the purchasing power of all Congolese households by a factor of 10 to 12 percent. Yet, the value-added tax appears to be highly progressive. Households in the top food expenditure quintile bears approximately 40 percent of the welfare loss compared with less than 10 percent among households in the bottom food expenditure quintile. Other inequality measures, such as the Gini coefficient, further support this finding that the value-added tax is progressive. Finally, the study finds that the adoption of the value-added tax leads to a worsening of the food poverty headcount by approximately 1.2 percentage points.
Distributional Impact --- Inequality --- Living Standards Measurement Survey --- Macroeconomics and Economic Growth --- Poverty --- Poverty Reduction --- Public Sector Development --- Tax Reform --- Taxation and Subsidies --- Value Added Tax --- Welfare Effects
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This paper uses a "mystery client" approach and visits the websites of national statistical offices and international microdata libraries to assess whether foundational microdata sets for countries in the Middle East and North Africa region are collected, up to date, and made available to researchers. The focus is on population and economic censuses, price data and consumption, labor, health, and establishment surveys. Following the exercise, a new microdata access indicator that measures the degree of opennes of microdata and the ease with which microdata users can understand and navigate the websites of national statistical offices is presented. The results show that about half of the expected core data sets are being collected and that only a fraction is made available publicly. As a consequence, many summary statistics, including national accounts and welfare estimates, are outdated and of limited relevance to decision makers. Additional investments in microdata collection and publication of the data once collected are strongly advised. National statistical offices in the region should make considerable improvements to the outlook of their websites to make them more user friendly. Specifically, microdata libraries and updated survey calendars should be a standard feature of the websites to ensure easy access to available microdata.
Census Data --- Consumer Survey --- Data Openness --- Data Transparency --- Demographic and Health Survey --- E-Government --- Governance --- Household Survey --- ICT Data and Statistics --- ICT Policy and Strategies --- Inequality --- Information and Communication Technologies --- Living Standards --- Living Standards Measurement Survey --- Microdata --- National Statistical Office --- Official Statistics --- Poverty Estimate --- Poverty Lines --- Poverty Reduction --- Statistical Indicators
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