This paper analyzes the treatment of commuting expenses by the income tax code from a normative and a positive point of view within a continuous space framework with endogenous residence choices and perfect labor mobility. As commuting expenses should never be deductible from the income tax base...

This paper analyzes the treatment of commuting expenses by the income tax code from a normative and a positive point of view within a continuous space framework with endogenous residence choices and perfect labor mobility. As commuting expenses should never be deductible from the income tax base...

Assuming that higher traveling expenses reduce traveling time, this paper considers reliefs for traveling expenses to work when a distorting wage tax is levied. While the decision on traveling expenses would not be distorted if traveling costs were completely deductible, taxation would still not...

This paper proposes the question whether or not traveling expenses to work should be deductible from the income tax base. In order to answer this question, a simple model of (im-) perfect household and worker mobility is employed. The focus of the analysis is on the efficient use of land and the...

Analyzing a homogenous household setting with endogenous fertility and endogenous labor supply, we demonstrate that moving from joint taxation to individual taxation and adapting child benefits so as to keep fertility constant entails a Pareto improvement. The change is associated with an...