Showing 1 - 4 of 4
We develop a simple model to study how relative wage rigidity affects equilibrium taxation. It is argued that relative …, people vote first on wage rigidity and second on redistributive taxation. The rigid society has a lower tax rate than the …
Persistent link: https://www.econbiz.de/10005123707
The analysis provides a new explanation for two widespread problems concerning European unemployment policy: the disappointingly small effect of many past reform measures on unemployment; and the political difficulties in implementing more extensive reform programmes. We argue that the heart of...
Persistent link: https://www.econbiz.de/10005123912
theoretical grounds the discretionary component of taxation should be allowed to have different effects on output than the …
Persistent link: https://www.econbiz.de/10008854466
associated with low growth rates. The model also predicts that the effect of labour taxation differs sharply in countries with …
Persistent link: https://www.econbiz.de/10005662079