Gary-Bobo, Robert J.; Trannoy, Alain - CESifo - 2013
and an elementary optimal income-tax problem à la Mirrlees. This combination can be called a graduate tax. There are two … of differing probabilities of success, and ex post unequal, because the income tax trades o¤ incentives and insurance … income tax depending only on earnings, and a loan repayment, depending only on education. Therefore, optimal loan repayments …