Lévy-Garboua, Louis; Masclet, David; Montmarquette, Claude - Centre Interuniversitaire de Recherche en Analyse des … - 2005
We make use of experimental economics to examine how people adjust their supply of work effort in response to a variation in tax rates. Participants are paired in the experiment. In each pair, one participant randomly chosen has to exert an effort and is taxed to the benefit of the other...