Koskela, Erkki; Schöb, Ronnie - In: FinanzArchiv: Public Finance Analysis 65 (2009) 1, pp. 51-72
Within an efficiency-wage framework, we study the effects of two revenue-neutral tax reforms that change the progressivity of the labor tax system. A revenue-neutral increase in both the wage tax and the tax exemption and a revenue-neutral change in the composition of labor taxation towards the...