Public Lecture: "What are the Benefits of Wealth Taxes?"

Rising wealth inequality in recent decades has motivated numerous tax proposals targeting wealthy individuals. What do such proposals mean for consumption, wealth inequality and asset prices? Who benefits from wealth taxes and why?
In this lecture, Dr Kapicka will review classical economic theories and argue that they often overlook the role of asset price responses to tax changes. He will demonstrate that the equilibrium response of asset prices substantially reduces the effectiveness of progressive asset taxes in decreasing consumption and wealth inequality. This is primarily because such taxes tend to increase the equity premium and the risk-free rate, thereby mitigating their direct redistributive effects. The session will also delve into the welfare implications of wealth taxation.
The lecture is open to the public and will be of interest to researchers, policymakers, students, and anyone engaged in economic development and fiscal policy.

Organisers:

The Institute of Public Policy and Administration (IPPA) of the UCA’s  Graduate School of Development (GSD), in partnership with CERGE-EI Foundation and Narxoz University.

About Speaker:

Dr Marek Kapicka is an Associate Professor at CERGE-EI Foundation in Prague. His research focuses on macroeconomics, public finance, and economic inequality. Dr Kapicka earned his Ph.D. in Economics from the University of Chicago and has held academic positions in both Europe and the United States. More about his work and background can be found here.

Moderator: Dr Madina Junussova, Senior Research Fellow, University of Central Asia
Date and time: 7 April 2025, 15:30 (Kazakhstan time)
Event language: English
Venue: Auditorium 109, Narxoz University, 55 Zhandossov Street, Almaty

Registration