This paper explores the implications of tax rate uncertainty, identifying circumstances in which revenue-neutral tax … heterogeneous taxpayers, tax rate variability is shown to perform an efficiency-enhancing screening function, imposing heavier … expected tax burdens on less responsive taxpayers. And while efficient tax uncertainty enables governments to reduce average …

In economic analyses of the effects of tax policies, one commonly encounters discussions of the equivalence of … outcomes. These related tax policies may differ in many respects, which give rise to conditions under which the equivalences … may break down.This paper draws out the key issues that relate to tax equivalences, using several illustrations from …

paper argues that , in its current state, optimal tax theory is incomplete as a guide to action concerning many critical … issues in tax policy. It is incomplete because it has not yet come to terms with taxation as a system of coercively … cost of implementing a tax system have been and will continue to be a critical determinant of appropriate tax policy. The …

. Many tax policies, however, have effects which are markedly different both from the effects that these policies would have … distortionary effect on the pattern of extraction. More generally, it is shown that the effects of tax structure on the patterns of … extraction are critically dependent on expectations concerning future taxation. (The changes in tax structure which have occurred …

Recent estimates of the potential growth effects of tax reform vary widely, ranging from zero (Lucas 1990) to eight … parameter values are important for determining the quantitative impact of tax reform. We find that the critical parameters are …

This paper deals with the international effects of budget deficits arising from distortionary tax and transfer policies …. The analysis demonstrates that the consequences of tax policies and the characteristics of the international transmission … borrowing (national dissaving) and those that stimulate current external lending (national saving). A pro-borrowing tax policy …

The idea that marginal tax rates and tax revenue may be inversely related is at least as old as Adam Smith's Wealth of …. The present paper uses data from the 1982 tax rate reductions to estimate the revenue maximizing top personal tax rate ….This paper also examines the components of taxable income to consider the sources of taxpayer response to changes in marginal tax …

Various tax policies provide consumers with forms of insurance. Social security has the payoff characteristics of an … annuity. The income tax provides consumers with a degree of Income insurance because the government shares part of the … effects of these and other tax policies are shown to depend crucially on the nature of existing private insurance arrangements …

revenues via a distortionary income tax and by borrowing. These revenues can be used to finance a national public good and …. In the long run, equilibrium tax rates are too high and too volatile, public good provision is too low and debt levels …

% of 1.2 percentage points. The effect closes 14% of the gap in tax preferences between Democrats and Republicans, and is … private-public sector meetings, a variable we argue is connected to State capacity. A model where people tax to punish corrupt …