Li, Jinlu; Lin, Shuanglin; Zhang, Congjun - In: Economics Letters 118 (2013) 3, pp. 515-518
This paper emphasizes the role of skill distribution in determining the optimal marginal tax rates. It rigorously shows that the optimal marginal tax rates can be strictly increasing, strictly decreasing, U-shaped, or inverse U-shaped as skill increases depending on the skill distribution.
