TAX-REFORM OF THE CENTURY - THE SWEDISH EXPERIMENT

What can changes in tax structure accomplish? The Swedish tax reform o f 1991 is the most far-reaching reform in any industrialized country i n the postwar period. It represents a thorough application of a strate gy of rate cuts cum base broadening, and it has affected a myriad of e conomic incentives in a more or less substantial way. This paper revie ws the lessons from a major evaluation effort, sponsored by the Swedis h government and involving a large number of researchers.