Asimakopoulos, Stylianos; Malley, James; Angelopoulos, … - Centre for Finance, Credit and Macroeconomics (CFCM), … - 2014
This paper examines quantitatively the extent of progressivity or regressivity of optimal labour income taxation in a model with skill heterogeneity, endogenous skill acquisition and a production sector with capital-skill complementarity. We Â…find that wage inequality driven by the resource...