Similar Search Results

Goerke, Laszlo - 2013

Relative consumption effects or status concerns that feature jealousy (in the sense of Dupor and Liu, AER 2003) boost consumption expenditure. If consumption is financed by labour income, such status considerations increase labour supply and, hence, the tax base. A higher taxable income, in...

Persistent link: https://www.econbiz.de/10010319761

Relative consumption and tax evasion

Goerke, Laszlo - 2013

Persistent link: https://www.econbiz.de/10010291499

On the optimal progressivity of the income tax code

Conesa, Juan Carlos; Krueger, Dirk - 2005

This paper computes the optimal progressivity of the income tax code in a dynamic general equilibrium model with household heterogeneity in which uninsurable labor productivity risk gives rise to a nontrivial income and wealth distribution. A progressive tax system serves as a partial substitute...

Persistent link: https://www.econbiz.de/10010298300

Optimal redistributive taxation with both extensive and intensive responses

Jacquet, Laurence; Lehmann, Etienne; van der Linden, Bruno - 2010

This paper characterizes optimal income taxation when individuals respond along both the intensive and extensive margins. Individuals are heterogeneous across two dimensions: specifically, their skill and disutility of participation. Preferences over consumption and work effort can differ with...

Persistent link: https://www.econbiz.de/10010277028

A simple theory of optimal redistributive taxation with equilibrium unemployment

Hungerbühler, Mathias; Lehmann, Etienne; Parmentier, Alexis - 2010

We propose a canonical model of optimal nonlinear redistributive taxation with matching unemployment. In our model, agents are endowed with different skill levels and labor markets are perfectly segmented by skill. The government only observes negotiated wages. More progressive taxation leads to...

Persistent link: https://www.econbiz.de/10010277029

Optimal redistributive taxation with both extensive and intensive responses

Jacquet, Laurence; Lehmann, Etienne; van der Linden, Bruno - 2010

We derive a general optimal income tax formula when individuals respond along both the intensive and extensive margins and when income effects can prevail. Individuals are heterogeneous across two dimensions: their skill and their disutility of participation. Preferences over consumption and...

Persistent link: https://www.econbiz.de/10010277042

Optimal income taxation with endogenous participation and search unemployment

Lehmann, Etienne; Parmentier, Alexis; van der Linden, Bruno - 2011

We characterize optimal redistributive taxation when individuals are heterogeneous in their skills and their values of non-market activities. Search-matching frictions on the labor markets create unemployment. Wages, labor demand and participation are endogenous. Average tax rates are increasing...

Persistent link: https://www.econbiz.de/10010277043

Indirect taxes for redistribution: Should necessity goods be favored?

Boadway, Robin; Pestieau, Pierre - 2011

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/10010280641

Optimal Taxes on Wealth and Consumption in the Presence of Tax Evasion

Brunner, Johann K.; Eckerstorfer, Paul; Pech, Susanne - 2010

This article incorporates tax evasion into an optimum taxation framework with individuals differing in earning abilities and initial wealth. We find that despite the possibility of its evasion a tax on initial wealth should supplement the optimal nonlinear income tax, given a positive...

Persistent link: https://www.econbiz.de/10010294923

Why Brennan and Buchanan are wrong (after all)

Apolte, Thomas - 2007

In their book The Power to Tax, Brennan and Buchanan have pointed to a central weakness of the traditional theory of … public finance and especially of the theory of optimal taxation: This approach overlooked the problem of governmental power … theory appears to be once the problem of power is considered. Nevertheless, Brennan and Buchanan's suggestions for …

Persistent link: https://www.econbiz.de/10010298416