Conference room, Maison des Sciences Humaines, Esch-sur-Alzette
1-2 December 2022

Inflation, energy prices and tax policy: Effects on consumption and welfare

3rd (LIS)2ER workshop on Policies to Fight Inequality


Inflation has recently reached levels that have not been seen in many industrialized countries for decades. Spikes in energy prices, notably, raised concern about the livelihoods of families living on a tight budget.

In this context, the 2022 (LIS)2ER workshop on policies to fight inequality — organized annually by the LIS Cross-national Data Center and LISER— aims to discuss research on inequality and distributive impacts of exposure to price variations. Emerging research on 'inflation inequality' has revealed the unequal exposure of households to price variations by income level, and notably a double pain with low income households facing higher inflation than high income households.

However, knowledge remains limited as traditional measurement of inflation typically assumes that all agents face the same set of prices and detailed analysis requires fine-grain data.Vulnerability to price variations may also be linked to other dimensions such as gender, occupation or age. Memories of the ‘yellow vest’ movement which grew out of frustration with earlier rises in fuel prices testify of the potential social and political upheavals related to the evolution of the costs of living. While it may be difficult for monetary policy to address these distributive concerns, fiscal policy could be of help. There is therefore interest in researching the effectiveness of different forms of fiscal policy responses (e.g., VAT adjustments of specific types of goods, income tax responses, targeted or universal transfers, etc.), particularly from an inequality perspective.

Finally, while the current surge in inflation may perhaps be short-lived, addressing climate change is likely to impact energy prices in the long run and the distributive impacts of price variations and green taxation will determine the social acceptability and success of the transition. Against this backdrop, the workshop aims to offer a forum to discuss novel research and insights on these questions and provide scholars with an opportunity to meet and exchange ideas.

To consult the tentative programme, please click here.

Practical information

  • The workshop will take place from Thursday 1st December (mid-day) through Friday 2nd December (mid-afternoon)
  • It will consist of 10 invited academic presentations
  • A connected policy roundtable will take place Friday 2nd December, early afternoon
  • In the Maison des Sciences Humaines, in Esch-sur-Alzette

Organizing Committee

Teresa Munzi (LIS) - Eugenio Peluso (LISER) - Petra Sauer (LIS, LISER) - Denisa Sologon / Jules Linden (LISER) - Philippe Van Kerm (LISER, University of Luxembourg)

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