Kina, Özlem; Slavik, Ctirad; Yazici, Hakki - 2020
This paper shows that capital-skill complementarity provides a quantitatively significant rationale to tax capital for … an identically calibrated model without capital-skill complementarity. The skill premium falls from 1.9 to 1.67 along the … transition following the optimal reform in the capital-skill complementarity model, implying substantial indirect redistribution …