Guo, Jang-Ting; Krause, Alan - In: Journal of Economic Behavior & Organization 109 (2015) C, pp. 101-119
This paper examines a dynamic model of nonlinear income taxation in which the government cannot commit to its future tax policy, and individuals are quasi-hyperbolic discounters who cannot commit to future consumption plans. The government has both paternalistic and redistributive objectives,...