Similar Search Results

Optimal Tax Theory : Econometric Evidence and Tax Policy

Boskin, Michael J. - 2021

The purpose of this paper is to provide a progress report on the issue of the implications of optimal tax theory and … major results of optimal tax theory. Section 3 reports the results of some recent econometric studies of saving and labor … supply. Finally, Section 4 outlines the implications of the combined theory and econometric evidence for tax policy …

Persistent link: https://www.econbiz.de/10013225427

Revisiting the Classical View of Benefit-Based Taxation

Weinzierl, Matthew - 2014

's benefit from public goods is tied to his or her income-earning ability, can be incorporated into modern optimal tax theory. If … may offer a useful approach to a positive optimal tax theory …

Persistent link: https://www.econbiz.de/10013040529

Understanding Different Approaches to Benefit-Based Taxation

Scherf, Robert; Weinzierl, Matthew - 2022

The normative principle of benefit-based taxation has exerted substantial influence on many areas of public finance, but it has been largely set aside in the modern theoretical approach to optimal income taxation, where welfarist objectives dominate. A prerequisite for that gap to close is the...

Persistent link: https://www.econbiz.de/10013323985

Choosing Size of Government Under Ambiguity : Infrastructure Spending and Income Taxation

Manski, Charles F. - 2012

Attempting to shed light on the optimal size of government, economists have analyzed planning problems that specify a set of feasible taxation-spending policies and a social welfare function. The analysis characterizes the optimal policy choice of a planner who knows the welfare achieved by each...

Persistent link: https://www.econbiz.de/10013104080

A Variational Approach to the Analysis of Tax Systems

Golosov, Mikhail - 2015

We develop a general method to study the effects of non-linear taxation in dynamic settings using variational arguments. We first derive general theoretical formulas that characterize the welfare effects of local tax reforms and, in particular, the optimal tax system, potentially restricted...

Persistent link: https://www.econbiz.de/10013031295

Optimal Taxation and Social Insurance with Endogenous Private Insurance

Chetty, Raj - 2013

This paper characterizes the welfare gains from redistributive taxation and social insurance in an environment where the private sector provides partial insurance. We analyze stylized models in which adverse selection, pre-existing information, or imperfect optimization in private insurance...

Persistent link: https://www.econbiz.de/10012753423

Tax Competition with Parasitic Tax Havens

Slemrod, Joel - 2006

We develop a tax competition framework in which some jurisdictions, called tax havens, are parasitic on the revenues of other countries. The havens use real resources to help companies camouflage their home-country tax avoidance, and countries use resources in an attempt to limit the transfer of...

Persistent link: https://www.econbiz.de/10012780128

A Theory of Optimal Capital Taxation

Piketty, Thomas - 2012

This paper develops a realistic, tractable theoretical model that can be used to investigate socially-optimal capital taxation. We present a dynamic model of savings and bequests with heterogeneous random tastes for bequests to children and for wealth per se. We derive formulas for optimal tax...

Persistent link: https://www.econbiz.de/10013107763

Inertia and Overwithholding : Explaining the Prevalence of Income Tax Refunds

Jones, Damon - 2010

Over three-quarters of US taxpayers receive income tax refunds, indicating tax prepayments above the level of tax liability. This amounts to a zero interest loan to the government. Previous studies have suggested two main explanations for this behavior: precautionary behavior in light of tax...

Persistent link: https://www.econbiz.de/10013143772

A New Measure of Horizontal Equity

Auerbach, Alan J.; Hassett, Kevin A. - 2021

In this paper, we propose a new measure of horizontal equity that overcomes many of the shortcomings of previous proposed measures. Our starting point is the observation that a well-behaved social welfare function need not evaluate global' (vertical equity) differences in after-tax income using...

Persistent link: https://www.econbiz.de/10013237932