Oireachtas Joint and Select Committees

Wednesday, 16 February 2022

Committee on Budgetary Oversight

Indexation of Taxation and Social Protection System: Discussion (Resumed)

Ms Jasmina Behan:

In terms of mathematical modelling it would not be difficult. The challenge is around agreeing on the parameters for the model and considering what those would be. For instance, even a simple thing like looking at inflation could vary depending on whether we measure over three months or year-on-year for a year, particularly at a time like this when there is an unusual type of behaviour. That is why, as I said, to consider the policy we need to really examine how all the parameters we want to include in the model are designed in a way that is appropriate. Those things are difficult but once we agree on the parameters the mathematics are not difficult to do.

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