Creedy, John (contributor); Moslehi, Solmaz (contributor) - 2008
choice of the size of govern-
ment involved a simple model of a transfer payment in the form of a basic
income combined with …’, such that the ordering of individuals by income is independent
of the tax rate.
2
The median voter’s preferred tax rate can …
Itcanbeshownthatthemajoritychoicesatisfies the condition, 1−
y
m
y
=
¯
¯
η
y,τ
¯
¯
,where
y
m
and ¯y are respectively the median and arithmetic mean gross income …