Input-output models and a bias in tax incidence (Fiche e Sanson)

In paper presented at "17th International Input Output Conference" (held at USP, July 13th-17th) , Marcelo Fiche and João Sanson compare the impact on prices of two alternative methods, frequently used in tax incidence studies. The authors conclude: "the main result is that recalculating the matrix coefficients raises the price effect of a given indirect tax system".