elasticity (avoidance) through tax enforcement and tax neutrality across income forms. The optimal top tax rate increases with … strong negative correlation between top tax rates and top 1% income shares since 1960, implying that the overall elasticity …This paper presents a model of optimal labor income taxation where top incomes respond to marginal tax rates through …

should be designed to minimize the second elasticity (avoidance) through tax enforcement and tax neutrality across income …, implyingthat the overall elasticity is large. But top income share increases have not translated into higher economic growth … responses. The first elasticity (supply side) is the sole real factor limiting optimal top tax rates. The optimal tax system …

-seeking preferences justify heavier taxation of income because this serves to internalise the negative externality that the pursuit of … status imposes on others. In a model where status depends on both income and effort, we show that the optimal corrective tax … for. Additionally, we demonstrate how the elasticity of labour supply depends on the parameters of the status production …

In this report, we combine theory and empirical estimates for how labor earnings respond to changes in tax rates and … unearned income. We use lottery winnings to obtain variation in unearned income and tax reforms to obtain variation in the net … Norwegian income tax schedule, we are able to point identify uncompensated and compensated behavioral responses to income taxes …