Boeters, Stefan - Zentrum für Europäische Wirtschaftsforschung (ZEW) - 2009
the one hand, wages are lowered and unemployment decreases, on the other hand, the individual labour supply decision is … progressivity is below the actual level. A decomposition approach shows that the optimal level is increased by high unemployment and …In labour markets with collective wage bargaining higher progressivity of the labour income tax creates a trade-off. On …