Showing 1 - 10 of 2,089
We show how normative standpoints determine optimal taxation of wealth. Since wealth is not equal to capital, we find very different welfare implications of land rent-, bequest- and capital taxation. It is mainly land rents that should be taxed. We develop an overlapping generations model with...
Persistent link: https://www.econbiz.de/10012841621
, the effectiveness of the electricity tariff as a redistribution device is questionable in the presence of a progressive … model predicts that electricity prices should be subsidised in the presence of purely income redistribution concerns, we … conservation as well as income redistribution …
Persistent link: https://www.econbiz.de/10012908694
We analyze optimal redistribution in the presence of labor market signaling where innate productive ability is not only … desirability of redistribution through wage compression …
Persistent link: https://www.econbiz.de/10013217555
What are the implications of (endogenous) directed technical change for the design of redistributive income taxes? I study this question in a Mirrleesian economy augmented to include endogenous technology development and adoption choices by firms. Under certain conditions, any progressive tax...
Persistent link: https://www.econbiz.de/10013314849
transition following the optimal reform in the capital-skill complementarity model, implying substantial indirect redistribution … from skilled to unskilled workers. These results show that a government that cares about redistribution should take into …
Persistent link: https://www.econbiz.de/10013315178
We integrate social exclusion, operationalized in terms of long-term unemployment, into the theory of optimal …, in conjunction with optimal income taxation, contributes to redistribution and reduced long-term unemployment. The second … varies with the government’s preferences for redistribution and the characteristics of those risking long-term unemployment …
Persistent link: https://www.econbiz.de/10013312073
This paper extends the Mirrlees (1971) model of optimal income redistribution with optimal corrective taxes to … internalize consumption externalities. It is demonstrated that the optimal second-best tax on an externality-generating good …
Persistent link: https://www.econbiz.de/10010274870
This article explores the use of workfare as part of an optimal tax mix when labor supply responses are along the extensive margin. Particular attention is paid to the interaction between workfare and an earned income tax credit, two policies that are designed to provide additional incentives...
Persistent link: https://www.econbiz.de/10013124395
We solve the non-linear income tax program for a rank-dependent social welfare function à la Yaari, expressing the trade-off between size and inequality using the Gini or related families of positional indices. The key idea is that when agents optimize and absent bunching, ranks in the actual...
Persistent link: https://www.econbiz.de/10012839709
fiscal externalities. We discuss two applications: the taxation of different income sources such as labor or capital income …
Persistent link: https://www.econbiz.de/10012908643