Barro, Robert J.; Chari, Varadarajan V. - National Bureau of Economic Research - 2024
Chamley and Judd argued that optimal taxation dictates zero long-run tax rates on capital income, but Straub and … capital levies on initial assets--directly or indirectly through positive tax rates on future asset income and non … wealth in utility units. In this case, a nonzero capital levy may apply in period zero, future tax rates on asset income …