This paper examines the effect of rural students' understanding of education investment on their willingness to study from the perspective of financial literacy. We set up a two-period model of human capital investment to show how schmeduling induces students with poor financial literacy to...

This paper investigates how price misperceptions, which are pervasive and mainly ascribed to a complex system of mixed tax schedule, affect the design of optimal tax rules. Our theoretical results show that in the presence of price misperceptions indirect taxation exerts both a corrective role...