labor supply elasticity of 0.33 on the intensive margin and 0.25 on the extensive margin after accounting for frictions …

This paper reviews recent developments in the theory of optimal labor income taxation. We emphasize connections between … theory and empirical work that were initially lacking from optimal income tax theory. First, we provide historical and … distribution. We also emphasize connections between actual practice and the predictions from theory, and in particular the …

Most contributions to optimal tax theory have assumed that all prices, including that of leisure, are known with … paper begins with a discussion of the positive theory of wage taxation and labor supply under uncertainty. This is followed …

Knowing the elasticity of taxable income (ETI) is crucial for understanding the effects of taxation on taxpayer … composition of their compensation than lower-income individuals. This paper considers the taxable income elasticity when … individuals can shift income across tax bases and thereby defer taxation. We decompose the elasticity of taxable income into a …

this elasticity. The paper then examines this effect in the solution to the optimal income taxation problem when such an …