Economy tax-benefit hypothetical households simulation model

Quality & Transparency

Quality

Model uncertainties

Models are by definition affected by uncertainties (in input data, input parameters, scenario definitions, etc.). Have the model uncertainties been quantified? Are uncertainties accounted for in your simulations?

response: no
details: Deterministic model. Users can design uncertainty through simulating various scenarios.
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Sensitivity analysis

Sensitivity analysis helps identifying the uncertain inputs mostly responsible for the uncertainty in the model responses. Has the model undergone sensitivity analysis?

response: not applicable
details: Due to the nature of the model this does not apply.
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Have model results been published in peer-reviewed articles?

response: yes
details: Model review is assured by its academic and policy uses and annual validation by ministries. TaxBEN coding language allow users to check what is modelled and how. Research using TaxBEN is published in OECD and European Commission reports. In addition, papers using TaxBEN are published in reputable research journals or books.
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Has the model formally undergone scientific review by a panel of international experts?

Please note that this does not refer to the cases when model results were validated by stakeholders.

response: no
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Model validation

Has model validation been done? Have model predictions been confronted with observed data (ex-post)?

response: yes
details: The model is validated by ministries. In addition users contribute to its improvements. The second question is not applicable because the model does not do predictions for the future. When TaxBEN is used to simulate policy changes the scenario used is selected by the user.
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Transparency

To what extent do input data come from publicly available sources?

This may include sources accessible upon subscription and/or payment

response: Based on both publicly available and restricted-access sources

Is the full model database as such available to external users?

Whether or not it implies a specific procedure or a fee

response: no
details: TaxBEN relies on nine decile points for the full-time earnings distribution which are computed based on the OECD Earnings Distribution Database (which compiles data from the European Union Structure of Earnings Survey, Labour Force Survey, country-specific household surveys or enterprise surveys). Decile points are then expressed as ratios of the mean in the same survey. Finally, these ratios are applied to the AW measure. In this way, the shape of the earnings distribution is maintained, but the distribution is anchored on the AW measure, making all TaxBEN wages internally consistent. When earnings distribution microdata is not available for a particular year, inter- or extrapolation is used to fill gaps in decile-point data. More details on data inputs can be found in the methodological document published by the OECD.
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Have model results been presented in publicly available reports?

Note this excludes IA reports.

response: yes
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Have output datasets been made publicly available?

Note this could also imply a specific procedure or a fee.

response: no
details: Output indicators are available in the EC tax and benefit database. In addition Users can access the TaxBEN model through: 1) A tax-benefit web calculator available from the OECD webpage; 2) An online platform, after the review of the application process by the OECD.
url: EC tax and benefit database

Is there any user friendly interface presenting model results that is accessible to the public?

For instance: Dashboard, interactive interfaces...

response: yes
details: At the European Commission everyone who wants to access the online platform should get in touch with EMPL.F4.
url: OECD

Has the model been documented in a publicly available dedicated report or a manual?