MauSim 2024 is used to understand the incidence of VAT and energy subsidies on poverty and inequality. This report focuses on the fiscal microsimulation tool for Mauritania, which aims to assess the distributional impact of electricity subsidies.
Authors
- Disclosure Date
- 2024/11/08
- Disclosure Status
- Disclosed
- Doc Name
- MauSim : A Fiscal Microsimulation Model for Mauritania
- Pages
- 57
- Product Line
- Advisory Services & Analytics
- Published in
- United States of America
- Rel Proj ID
- MR-Mauritania Tax Revenue Mobilization -- P500687
- TF No/Name
- TF0C4222-Mauritania Tax Revenue Mobilization,TF0C2197-Mauritania Tax Revenue Mobilization
- Unit Owning
- EFI-AFR2-MTI-MacroFiscal-1 (EAWM1)
- Version Type
- Final
- Volume No
- 1
Table of Contents
- Default Section 1
- Slide 1: MauSim: A Fiscal Microsimulation Model for Mauritania 1
- Slide 2 2
- Slide 3: MauSim 2024 3
- Slide 4: Electricity subsidies in MauSim 4
- Slide 5: Impact of VAT and electricity subsidies 5
- Slide 6: The Incidence of Value Added Taxes in Mauritania 6
- Slide 7: In Mauritania, VAT represents one third of fiscal revenue 7
- Slide 8: Data and Methodological FRAMEWORK 8
- Slide 9: Data 9
- Slide 10: Framework 10
- Slide 11: Framework (2) 11
- Slide 12: Measuring the indirect effects of VAT 12
- Slide 13: Measuring Consumption informality 13
- Slide 14: Main results: VAT 14
- Slide 15: VAT is mostly paid by top income households. Indirect effects are about one-sixth of the impact 15
- Slide 16: Half of VAT expenditures end up in high income households 16
- Slide 17: VAT increase poverty and reduce inequality 17
- Slide 18: Policy simulations: VAT 18
- Slide 19: Policy simulations 19
- Slide 20: Reducing exemptions generates more revenues than increasing informality 20
- Slide 21: Both policies will increase poverty and reduce inequality 21
- Slide 22: Conclusions 22
- Slide 23: Next steps 23
- Slide 24: Next steps 24
- Slide 25: Distributional Impact of Electricity Subsidies in Mauritania 25
- Slide 26: Data 26
- Slide 27: Framework 27
- Slide 28: Framework: Direct effects 28
- Slide 29: Framework: Indirect effects 29
- Slide 30: Framework: Indirect effects 30
- Slide 31: Model Parameters 31
- Slide 32: Model parameters 32
- Slide 33: Model parameters: Cost 33
- Slide 34: Model parameters: Tariffs 34
- Slide 35: Model parameters: Quantities 35
- Slide 36: Model parametrization: Quantities (2) 36
- Slide 37: Model parametrization: Quantities (3) 37
- Slide 38: Data Validation 38
- Slide 39: Electricity consumption has increased since 2019 39
- Slide 40: However, we find higher consumption in household survey than in adm. records 40
- Slide 41: However, we find higher consumption in household survey than in adm records 41
- Slide 42: ECPV also report higher implicit electricity consumption than administrative records 42
- Slide 43: (Preliminary) Results: Electricity Subsidies 43
- Slide 44: High-income households have higher access to electricity and consume more Kwh than low-income households 44
- Slide 45: As a result, subsidies are disproportionally allocated to high income households 45
- Slide 46: Electricity subsidies reduce poverty but increase inequality 46
- Slide 47: Drivers behind the high impact of electricity subsidies on poverty 47
- Slide 48: Conclusions 48
- Slide 49: Next steps 49
- Slide 50: Proposed simulations 50
- Slide 51: Annex 51
- Slide 52: Adm vs survey data – supplemental table 52
- Slide 53: Une note sur la "taxonomie" des impôts du CEQ 53
- Slide 54: Note sur les transferts de la "taxonomie" du CEQ 54
- Slide 55: Appliqué a la Mauritanie: 55
- Slide 56: Concepts de "revenus" (1) 56
- Slide 57: Concepts de "revenus" (2) 57
