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Atkinson and Stiglitz show that with weakly separability, differential commodity taxes are unnecessary given an optimal nonlinear income tax. Deaton showed that with an optimal linear progressive income tax, commodity taxes are superfluous under weakly separable and linear Engel curves. Using...
Persistent link: https://www.econbiz.de/10013117597
The literature on indirect tax reforms in pollution-ridden economies is quite limited. This paper, using a model of a small open economy with production and consumption generated pollution, considers the welfare implications of tax reforms within an integrated structure of consumption and...
Persistent link: https://www.econbiz.de/10012753616
We analyze the redistributive (dis)advantages of a minimum wage over income taxation in competitive labor markets. A minimum wage causes more unemployment, but also leads to more skill formation as unemployment is concentrated on low-skilled workers. A simple condition based on three sufficient...
Persistent link: https://www.econbiz.de/10013059059
Redistribution is an inevitable feature of collective pension schemes. It is still largely an open question what people …‘s preferences are regarding redistribution - both through pensions schemes as well as more generally. It would seem that economists … redistribution are strongly dependent on a person‘s own position. People in a relatively disadvantaged position want more …
Persistent link: https://www.econbiz.de/10013316175
This paper analyses the importance of fiscal mechanisms for regional risk sharing and redistribution in Switzerland …
Persistent link: https://www.econbiz.de/10012921275
Building on the existing literature that examines the extent of redistribution in the Social Security system as a whole … inequality. Second, we find that this result is driven largely by the lack of redistribution across the middle and upper part of … distribution. Third, in cases where redistribution does occur, we find it is not efficiently targeted: many high income households …
Persistent link: https://www.econbiz.de/10012763992
This paper identifies conditions under which, starting from any tax distorting equilibrium, destination- and origin-based indirect tax-harmonizing reforms are potentially Pareto improving in the presence of global public goods. The first condition (unrequited transfers between governments)...
Persistent link: https://www.econbiz.de/10013158653
This paper analyzes the effects of specific and ad valorem taxation in an industry with downstream and upstream oligopoly. We find that in the short run, i.e. when the number of firms in both markets is exogenous, the results concerning tax incidence tend to be qualitatively similar to models...
Persistent link: https://www.econbiz.de/10012764392
An important question is whether VAT exemption of financial services is a desirable property or whether it is justified only due to practical and administrative necessity. This paper singles out a number of financial services for discussion of this issue in a context allowing for other taxes and...
Persistent link: https://www.econbiz.de/10012944948
When accidental bequests signal otherwise unobservable individual characteristics such as productivity and longevity, the tax administration should partition the population into two groups: One consisting of people who do not receive an inheritance and the other of those who do. The first tagged...
Persistent link: https://www.econbiz.de/10013141886