This Paper Extends a Model of a Three-Person Hierarchy Developed by Tyrole (1986) to the Case of Fiscal Or Military Bureaucraties. It Is Demonstrated That a Decrease in Economies of Scale in the Application of Military Force Results in a Contraction of Territorial Boundaries and an Expansion of...

It Has Often Been Assumed That a Country's Tax Level, Tax Structure Progressivity and After-Tax Income Distribution Are Chosen by Voters Subject Only to Their Budget Constraints. This Paper Argues That At Certain Income Levels Voters' Decisions May Be Constrained by Bureaucratic Corruption. the...

The recent public debt crisis in most developed economies implies an urgent need for increasing tax revenues or cutting government spending. In this paper we study the importance of household heterogeneity and the progressivity of the labor income tax schedule for the ability of the government...