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Using a collective model of consumption, we characterize optimal commodity taxes aimed at targeting specific individuals within the household. The main message is that distortionary indirect taxation can circumvent the agency problem of the household. Essentially, taxation should discourage less...
Persistent link: https://www.econbiz.de/10009730373
Using a collective model of consumption, we characterize optimal commodity taxes aimed at targeting specific individuals within the household. The main message is that distortionary indirect taxation can circumvent the agency problem of the household. Essentially, taxation should discourage less...
Persistent link: https://www.econbiz.de/10009235597
There is a large empirical literature on policy measures targeted at children but surprisingly very little theoretical foundation to ground the debate on the optimality of the different instruments. In the present paper, we examine the merit of targeting children through two general policies,...
Persistent link: https://www.econbiz.de/10012777267
Using a collective model of consumption, we characterize optimal commodity taxes aimed at targeting specific individuals within the household. The main message is that distortionary indirect taxation can circumvent the agency problem of the household. Essentially, taxation should discourage less...
Persistent link: https://www.econbiz.de/10013127328
is taken into account by introducing the government's aversion to inequality into the social welfare function. We also … expected, the degree of selectivity is more significant for higher inequality aversion parameters. Moreover, as the tax revenue … when the central planner's degree of aversion to inequality is high enough. On the other hand, poll transfer levels are …
Persistent link: https://www.econbiz.de/10014121291
Commodity taxes play an important role in Brazil and raise around 60% of the total tax revenue. This heavy reliance renders commodity taxation one of the main tools available to the government for collecting revenue and securing redistribution. In fact, Brazilian income inequity is one of the...
Persistent link: https://www.econbiz.de/10014075339
We investigate how income inequality affects social welfare in a model of voluntary contributions to multiple pure … voluntarily supplied public goods; specifically, we show that not only an income inequality-raising redistribution policy but also … allowed, an inequality-raising redistribution policy is no longer effective and leaves social welfare unchanged. …
Persistent link: https://www.econbiz.de/10011584914
When measuring income inequality over long periods of time, accounting for population and productivity growth is … that the U-shaped inequality trend over the past century holds up, but with important qualifications. Using measures that …-term income inequality trends. …
Persistent link: https://www.econbiz.de/10011957201
inequality through a real-world policy, rather than experimental treatments, may trigger only marginal changes in support for …
Persistent link: https://www.econbiz.de/10014551561
shown that the policy recommendations would be different if only the study of inequality had been considered, since the net … income gains of the current system offset the possible improvements in inequality of the simulated alternatives. Our results …
Persistent link: https://www.econbiz.de/10013205351