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bunching behavior among the self-employed at the salient first kink point of the Swedish central government income tax schedule … bunching behavior than natives, even after a long time in the host country. We highlight residential segregation as a main …
Persistent link: https://www.econbiz.de/10011990076
We analyze the relationship between cognitive ability and bunching in the context of a large and salient kink point of …
Persistent link: https://www.econbiz.de/10012206064
This paper reviews the literature on optimal taxation of labour income and the empirical work on labour supply and the elasticity of taxable income in Sweden. It also presents an overview of Swedish taxation of labour income, offers calculations on the development in effective marginal tax rates...
Persistent link: https://www.econbiz.de/10009010517
estimate the taxable income elasticity at a very large kink point of the Swedish tax schedule using the bunching method. During … bunching estimator by performing Monte Carlo simulations. -- bunching ; taxable income ; bounds ; optimization frictions …
Persistent link: https://www.econbiz.de/10009571270
This paper presents the properties of optimal piecewise linear tax systems for two-earner households, based on joint and individual incomes respectively. A key contribution is the analysis of the interaction between second earner wage differences, variation in the price of child care and...
Persistent link: https://www.econbiz.de/10010229858
The present paper quantifies the economic consequences of eliminating the system of income splitting in Germany. We apply a dynamic simulation model with overlapping generations where single and married agents have to decide on labor supply and homework facing income and lifespan risk. The...
Persistent link: https://www.econbiz.de/10009792209
This paper analyses optimal piecewise linear tax systems for two-earner households, based on joint and individual incomes respectively. It models the interaction between wage rates and variation in child care prices and productivities as determinants of across-household heterogeneity in second...
Persistent link: https://www.econbiz.de/10011451043
This paper investigates whether tax evasion can be beneficial for an optimal income tax schedule. Past theoretical discussions have presented mixed outcomes as to whether allowing taxpayers to opt into uncertainty could indeed enhance overall tax revenues. In this study, we conducted an original...
Persistent link: https://www.econbiz.de/10014334081
eliminate income tax kinks in Cyprus. Reduced-form evidence reveals substantial adjustment frictions attenuating bunching and de-bunching … responses. Combining the empirical bunching moments with a structural model of frictional earnings supply, adjustment costs are … bunching at a kink is costlier than de-bunching away from the kink. Finally, we find that self-employed individuals face …
Persistent link: https://www.econbiz.de/10013206133
Relative consumption effects or status concerns that feature jealousy (in the sense of Dupor and Liu, AER 2003) boost consumption expenditure. If consumption is financed by labour income, such status considerations increase labour supply and, hence, the tax base. A higher taxable income, in...
Persistent link: https://www.econbiz.de/10009691693