D'Andria, Diego; DeBacker, Jason; Evans, Richard W.; … - 2019
Microsimulation models are increasingly used to calibrate macro models for tax policy analysis. Yet, their potential … remains underexploited, especially in order to represent the non-linearity of the tax and social benefit system and …-linear tax functions in a macro model. In doing so we make marginal and average tax rates bivariate functions of capital income …