In lieu of an abstract, here is a brief excerpt of the content:

Reviewed by:
  • The New Fiscal Sociology: Taxation in Comparative and Historical Perspective
  • Paul Smoke
The New Fiscal Sociology: Taxation in Comparative and Historical Perspective. Edited by Isaac William Martin, Ajay K. Mehrotra, and Monica Prasad (New York, Cambridge University Press, 2009) 313 pp. $103.99 cloth $55.00 paper

This edited volume is a most welcome addition to the interdisciplinary literature on taxation. Bringing together leading scholars in multiple fields (sociology, history, political science, law, and economics) and methods, this well-organized collection covers a range of issues grounded in the intricate dynamics that underlie, and are generated by, taxation. Built around the notion of taxation as social contract and deeply concerned with placing the phenomenon in historical, political, [End Page 628] and social context, the volume both encourages conceptual insights and provides those who design tax policy with much food for thought.

The effort is beautifully framed in the Foreword by Charles Tilly and in Chapter 1 (“The Thunder of History: Origins and Development of the New Fiscal Sociology”) by the co-editors. They explain the importance of the field, outline its inspiration (Joseph Schumpeter), and concisely trace the history of approaches to studying tax policy. They consider the relationship of the new fiscal sociology to more insular traditions for analyzing how taxation evolves—modernization theory, elite theory, and militarist theory—and convincingly explain how the more synthetic approach adds value. In the Epilogue, John Campbell reinforces this point and transposes it to the context of contemporary policy debates.

The volume is divided into three parts that respectively cover state-based sources of tax policy, the evolution of taxpayer consent, and social consequences of taxation. Part I focuses on the trajectory of the fiscal-social contract in the United States from the perspective of the state. Joseph Thorndike analyzes the evolution of New Deal taxation and its role in shaping conflicts embedded in the present U.S. tax system (Chapter 2). Andrea Campbell presents an illuminating empirical analysis of the relationship between elite rhetoric and citizen attitudes about taxes (Chapter 3). Fred Block deconstructs the factors underlying the tax cuts of President George W. Bush (2001/2003), showing how the political right used an individualistic ideology to win over religious conservatives and business elites (Chapter 4). Finally, Christopher Howard shows how and why politicians with opposing perspectives about tax rates have commonly used tax expenditures as social policy (Chapter 5). All of the chapters discuss how the state and politicians relate to different groups in American society.

Part II turns to the perspective of taxpayers inside and outside the United States. Drawing on state responses to hiv/aids in Brazil and South Africa, Evan Liberman shows how social identity and the historical forces that shape it affect the consent of taxpayers and how they relate to public-expenditure benefits (Chapter 6). Esako Ide and Sven Steinmo look at the role of trust with regard to tax compliance in Japan and the influence of previous government choices on trust levels (Chapter 7). Naomi Feldman and Joel Slemrod examine the effect of war on compliance (long framed as a driver of tax development) (Chapter 8); they find a modest positive effect that erodes as fatalities increase. Finally, using the experience of pre-Revolutionary America, Robin Einhorn analyzes the extent to which democracy and liberty influence taxpayer consent (Chapter 9). Collectively these chapters demonstrate the effect of evolving state–citizen relations on tax systems and taxpayer compliance.

Part III treats the social and cultural effects of taxation. Tilly argues that democracy benefits from taxation, given that trajectories of tax policy over time help to institutionalize negotiations between the state and the people (Chapter 10). Edgar Kiser and Audrey Sachs investigate the [End Page 629] emphasis on traditional centralized tax administration in low-capacity countries of sub-Saharan Africa at the expense of important political and historical dynamics that are consistent with a more decentralized approach (Chapter 11). Drawing on Adam Smith, Beverly Moran concludes that wealth taxation is preferable to income taxation in the United States because of its potential to redress historical inequities reinforced by the present system (Chapter 12). Edward McCaffery depicts the tax system as reproducing gender inequalities and...

pdf

Share