Child-targeted tax-benefit reform in Spain in a European context: A microsimulation analysis using EUROMOD

摘要

Spain has one of the lowest expenditures on family social protection, the third highest child poverty and the second lowest fertility rate in the EU. The objective of this paper is to identify and assess tax-benefit reforms that could improve this situation. Using the European microsimulation model EUROMOD, this paper compares the child-targeted policies of four EU countries to those recently reformed in Spain. It also analyses the effect that the policies of these countries would have if applied in Spain. Results show that recent reforms have increased considerably the expenditure on child-targeted policies. However, in contrast to the other analysed countries the new Spanish system mainly benefits higher income families and has a low poverty reduction effect.