suggest that a more progressive tax schedule reduces the unemployment rate and increases the employment rate. These findings …

because minimum wage increases unemployment, hence the marginal cost of redistribution is higher which gives a pretext for … high skilled workers to moderate low skilled workers claim for income redistribution. -- unemployment ; political economics …

We propose a canonical model of optimal nonlinear redistributive taxation with matching unemployment. In our model … efficient values, at the optimum gross wages and unemployment are lower. Average tax rates are moreover increasing in wages. The … robustness of these properties is also discussed. -- Optimal income taxation ; unemployment ; matching …