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We consider taxation by a Leviathan government and by a utilitarian government in the presence of heterogeneous locations within a country, when migration from one country to another is and is not possible. In a closed economy, a utilitarian government may transfer income from the poor to the...
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transfers and public goods are each integrated into a common optimal tax framework with the income tax and commodity taxes at …
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for redistribution. We leverage a quasi-experiment in Finland, where every year on the so-called tax day, the authorities … earnings of the top 10% are unfair, but that public support for redistribution remains largely unaffected. A notable exception … are top earners, who decrease their support for redistribution, and young people, who increase their support for …
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Specialized theoretical and empirical research should in principle be embedded in a unified framework that identifies the relevant interactions among different phenomena, enables an appropriate matching of policy instruments to objectives, and grounds normative analysis in individuals' utilities...
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that a utilitarian government never equalizes after-tax incomes, even when it can impose group-specific lump-sum taxes. If …
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