This note analyzes constrained Pareto efficient nonlinear income tax schedules that are monotonic chains to the left. The main result demonstrates that if all individuals have a positive consumption at the tax schedule that maximizes the utility of the worst-off individual, then the constrained...

This note analyzes constrained Pareto efficient nonlinear income tax schedules that are monotonic chains to the left. The main result demonstrates that if all individuals have a positive consumption at the tax schedule that maximizes the utility of the worst-off individual, then the constrained...

This paper revisits the fair and optimal allocation mechanism (Sun and Yang, Economics Letters 81:73-79, 2003) and demonstrates that it is coalitionally strategy-proof. The proof is valid for general preferences, it is simple and it is short.