Follow us
Publications Commentary Research People Events News Resources and Videos About IFS
Home Research areas Tax and benefit system Behavioural responses to the tax and benefit system

Behavioural responses to the tax and benefit system

The design of the tax and benefit system has important impacts on the decisions made by individuals, households, and companies. Over the past 40 years, IFS researchers have been at the forefront of efforts to understand these effects, making seminal contributions to our knowledge of how the tax and benefit system affects how much women choose to work, save, study, and invest in skills. Recent work examines subjects as diverse as how fat taxes affect household consumption, what effect corporation tax has on the location decisions of firms, and how top incomes respond to higher taxes.

Selected highlights

Journal article | Econometrica
We estimate a dynamic model of employment, human capital accumulation—including education, and savings for women in the United Kingdom, exploiting tax and benefit reforms, and use it to analyze the effects of welfare policy.
This Briefing Note presents new analysis of how high income taxpayers respond to changes in income tax rates. The Note is based on three new Working Papers, funded by the Nuffield Foundation, the Economic and Social Research Council and the European Research Council.
Journal article | Econometrica
The 1980s tax reforms and the changing dispersion of wages offer one the best opportunities yet to estimate labour supply effects.


Contact IFS on 020 7291 4800 or

Stuart Adam
Senior Research Economist
Monica Costa Dias
Deputy Research Director
David Phillips
Associate Director
Peter Levell
Associate Director
Barra Roantree
International Research Associate
Robert Joyce
Deputy Director
Helen Miller
Deputy Director