Work incentives: a CIRANO study widely reported in the media

Governments, both federal and provincial, are making considerable financial efforts to develop and modify tax measures aimed at improving work incentives. But are these efforts really reaching their targets? 

In the CIRANO project report « Incitation au travail : perceptions et réalités », Nicholas-James Clavet (HEC Montréal), Xavier Dufour-Simard (HEC Montréal) and Pierre-Carl Michaud (HEC Montréal, CIRANO) document the evolution of work incentives from 2017 to 2023 and compare reality with perceptions to measure the degree of public understanding of work incentives and specific tax measures.

Key findings :
→ The population's understanding of the impact of tax measures on work incentives is very low.
→ Specific tax measures are unlikely to have an effect on behaviour.
→ The existence of a large number of poorly understood tax measures deprives governments of considerable revenue.

The study generated interest in the media, which widely relayed the authors' findings and reflections.

- Déconstruire des mythes tenaces sur le retour au travail pour aînés - QUB Radio

- Le contribuable moyen n’y comprend rien - La Presse

- Les crédits d’impôt pour inciter les gens à travailler plus d’heures sont coûteux et inefficaces - TVA Nouvelles

- Les crédits d’impôt pour inciter les gens à travailler plus d’heures sont coûteux et inefficaces - Journal de Montréal