69-81

• Αγαπητός, Γεώργιος Ι.

This paper intends to demonstrate the necessity of coordinating the tax and incomes policies and to suggest an effective way to accoplish this. We start by showing, specifically, how taxes on the one hand and wages - prices on the other are interrelated. There follows a calculation of wage multipliers, based on the 1988 tax schedule for personal income tax (P.I.T) in Greece, as well as of the required wage increases for each income bracket in order to guarantee that for 1989 the real disposable income (R.D.I) of wage-earners does not deteriorate. Next, the impact of P.I.T on wages is estimated using wage equations. Finally, we present a workable mechanism to achieve the coordination of tax and incomes policies in practice. In this way we hope to have given a satisfactory answer to a hitherto unsolved problem.

• Economics and Business
• Computer and information sciences

• Economic policy
• Finance
• Statistics

Περιέχει σημειώσεις, πίνακες και βιβλιογραφία, The author would like to thank Professors P. Pavlopoulos and G. Provopoulos for their careful reading and criticism of an earlier draft of this paper.