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We augment a standard tax model by concerns about tax equity: people get upset when labour is taxed more heavily than capital. Even the slightest concern for tax equity invalidates the common recommendation for small open economies that capital should remain tax-exempt. This holds for exogenous...
Persistent link: https://www.econbiz.de/10008671687
perceived and the actual fairness of the income generation process affects this association. Building on a simple model of … individual labor-market participation under uncertainty, we predict that higher levels of perceived fairness cause higher levels …, income inequality is perceived more negatively with increased perceived fairness, due to the need for unexpected policy …
Persistent link: https://www.econbiz.de/10008671705
incomplete contract. It is shown that the efficiency of these solutions is very sensitive to the characteristics of the good or …
Persistent link: https://www.econbiz.de/10005766147
We consider rules (strategies, commitments, contracts, or computer programs) that make behavior contingent on an opponent’s rule. The set of perfectly observable rules is not well defined. Previous contributions avoid this problem by restricting the rules deemed admissible. We instead limit...
Persistent link: https://www.econbiz.de/10011086457
An important element for the public support of policies is their perceived justice. At the same time most policy … their own risk preferences. The observed allocations are consistent with four different views of justice under uncertainty. …
Persistent link: https://www.econbiz.de/10010877816
The internet has given birth to an expanding number of shared virtual reality spaces, with a collective population well into the millions. These virtual worlds exhibit most of the traits we associate with the Earth world: economic transactions, interpersonal relationships, organic political...
Persistent link: https://www.econbiz.de/10005196287
fairness and redistributional choices. A fortune reversal is generally perceived to be fair behind a thick VOI, but deemed … exists between the perception of fairness and the certainty levels about social position. A 50-50 split is preferred with …
Persistent link: https://www.econbiz.de/10010877830
There is clear evidence that fairness plays a role in redistribution. Individuals want to compensate others for their … misfortune, while they allow them to enjoy the fruits of their effort. This paper introduces fairness in a tax-benefit scheme … fairness test, whereas the Baltic and Anglo-Saxon countries (including the US) perform worst. Our paper provides a new way to …
Persistent link: https://www.econbiz.de/10009221559
, a rise in the inflation rate leads workers to supply more labor over the contract period, generating a significant …
Persistent link: https://www.econbiz.de/10009645645
that such 'fairness spillovers' can incur large economic costs: A belief that there is unfairness in taxation in the sense …
Persistent link: https://www.econbiz.de/10008727283