Tax structure, welfare, and the stability of equilibrium in a model of dynamic optimal fiscal policy

A demonstration that the assumed structure of taxation can have dramatic effects on economic welfare and on the stability of the steady state in a dynamic general-equilibrium model of optimal fiscal policy. The authors find that household welfare is highest under a structure that includes separate tax rates on labor and capital incomes, double taxation of dividends, and tax-deductible depreciation.

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Year of publication:	1994
Authors:	Guo, Jang-Ting ; Lansing, Kevin J.
Institutions:	Federal Reserve Bank of Cleveland
Subject:	Taxation \| Fiscal policy

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Extent:	application/pdf
Series:	Working Paper.
Type of publication:	Book / Working Paper
Language:	English
Notes:	Number 9410
Source:	RePEc - Research Papers in Economics

Persistent link: https://www.econbiz.de/10005428267