Tax reform boosts employment, lowers unemployment, and increases public revenue.
The article explores how changing labor taxes can impact employment and unemployment rates. By adjusting the tax mix, like reducing payroll tax and increasing wage tax, more jobs can be created and unemployment rates can drop. This can also boost public revenue, as long as workers don't have all the bargaining power. Shifting from employment taxes to payroll taxes can also increase employment and lower unemployment, but its effect on public revenue is uncertain.