The conventional approach to modelling family labour supply is to estimate a system of two-adult equations on micro data sets providing information on female and male hours of market work and aggregate family consumption of market goods. Information on all individual consumptions, including pure...

Household labour supply models are typically estimated on data sets containing information on family consumption and male and female hours of market work. The estimating equations are consistent with a theoretical model which assumes the maximisation of a household utility function defined on...

This paper extends the standard model of life cycle consumption, saving and labor supply in a number of directions. First, it argues that consumption should be defined as expenditure on household production as well as on market goods, that is, we are interested in life cycle profiles of full...

This paper presents the properties of optimal piecewise linear tax systems for two-earner households, based on joint and individual incomes respectively. A key contribution is the analysis of the interaction between second earner wage differences, variation in the price of child care and...

In a number of high-income countries over the past few decades there has been a large growth in income inequality and at the same time a shift in the burden of taxation from the top to the middle of the income distribution. This paper applies the theory of optimal piecewise linear taxation to...

Given its significance in practice, piecewise linear taxation has received relatively little attention in the literature. This paper offers a simple and transparent analysis of its main characteristics. We fully characterize optimal tax parameters for the cases in which budget sets are convex...