Similar Search Results

Efficient Subsidization of Human Capital Accumulation with Overlapping Generations and Endogenous Growth

Richter, Wolfram F. - 2010

This paper studies second-best policies in an OLG model in which endogenous growth results from human capital accumulation. When young, individuals decide on education, saving, and nonqualified labour. When old, individuals supply qualified labour. Growth equilibria are inefficient in...

Persistent link: https://www.econbiz.de/10013149817

Redistribution and Insurance with Simple Tax Instruments

Findeisen, Sebastian - 2015

We analyze optimal taxation of labor and capital income in a life-cycle framework with idiosyncratic income risk. We … independent of the social welfare function and determined by the degree of income risk and risk aversion. The optimal linear … capital tax is non-zero and trades off redistribution and insurance against savings distortions. Our quantitative results …

Persistent link: https://www.econbiz.de/10013016371

Sufficient Statistic or Not? The Elasticity of Taxable Income in the Presence of Deduction Possibilities

Dörrenberg, Philipp - 2014

The elasticity of taxable income (ETI) is often interpreted as a sufficient statistic to assess the welfare costs of taxation. Building on the conceptual framework of Chetty (2009), we show that this assertion does no longer hold for tax systems with deduction possibilities if (i) deductions...

Persistent link: https://www.econbiz.de/10013045052

The Optimal Graduated Minimum Wage and Social Welfare

Danziger, Eliav - 2018

This paper analyzes the effects of introducing a graduated minimum wage in a model with optimal in-come taxation in which a government seeks to maximize social welfare. It shows that the optimal graduated minimum wage increases social welfare by increasing the lowproductivity workers'...

Persistent link: https://www.econbiz.de/10012923241

Human Capital and Optimal Redistribution

Koeniger, Winfried - 2014

differs from the wedge for bequests because human capital carries risk: its returns depend on the non-diversifiable risk of … bad hedge for consumption risk …

Persistent link: https://www.econbiz.de/10013042983

Optimal Spatial Taxation : Are Big Cities Too Small?

Eeckhout, Jan - 2015

We analyze the role of optimal income taxation across different local labor markets. Should labor in large cities be taxed differently than in small cities? We find that a planner who needs to raise revenue and is constrained by free mobility of labor across cities does not choose equal taxes...

Persistent link: https://www.econbiz.de/10013029153

Heterogeneity and Government Revenues : Higher Taxes at the Top?

Guner, Nezih - 2014

We evaluate the effectiveness of a more progressive tax scheme in raising government revenues. We develop a life-cycle economy with heterogeneity and endogenous labor supply. Households face a progressive income tax schedule, mimicking the Federal Income tax, and flat-rate taxes that capture...

Persistent link: https://www.econbiz.de/10013049753

Optimal Income Taxation with Unemployment and Wage Responses : A Sufficient Statistics Approach

Kroft, Kory - 2016

We derive a sufficient statistics optimal tax formula in a general model that incorporates unemployment and endogenous wages, to study the shape of the tax and transfer system at the bottom of the distribution. The sufficient statistics are the macro employment response to taxation and the micro...

Persistent link: https://www.econbiz.de/10012999019

Combining Microsimulation and Optimization to Identify Optimal Flexible Tax-Transfer Rules

Colombino, Ugo - 2020

We use a behavioural microsimulation model embedded in a numerical optimization procedure in order to identify optimal (social welfare maximizing) tax-transfer rules. We consider the class of tax-transfer rules consisting of a universal basic income and a tax defined by a 4th degree polynomial....

Persistent link: https://www.econbiz.de/10012832584

On the Optimality of a Minimum Wage : New Insights from Optimal Tax Theory

Hungerbühler, Mathias - 2007

We build a theoretical model to study whether a minimum wage can be welfare-improving if it is implemented in conjunction with an optimized nonlinear income tax. We consider this issue in a framework where search frictions on the labor market generate unemployment. Workers differ in...

Persistent link: https://www.econbiz.de/10012776136

1
2
3
4
5
6
7
8
9
10
Next
Last