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non-market activities. Search-matching frictions on the labor markets create unemployment. Wages, labor demand and … ; adverse selection ; random participation ; unemployment ; labor market frictions …
Persistent link: https://www.econbiz.de/10009009108
We propose a canonical model of optimal nonlinear redistributive taxation with matching unemployment. In our model … robustness of these properties is also discussed. -- Optimal income taxation ; unemployment ; matching … efficient values, at the optimum gross wages and unemployment are lower. Average tax rates are moreover increasing in wages. The …
Persistent link: https://www.econbiz.de/10003944297
This paper studies optimal taxation schemes for education in a search-matching model where the labor market is divided … in higher education. We show that, with current labor market characteristics, the target set by governments seems …
Persistent link: https://www.econbiz.de/10010487496
in favour of human capital investments. This effect is strengthened when education no longer is a pure investment, but … investments, and it reduces the price of education as a consumption good. By introducing a progressive labour income tax, the …
Persistent link: https://www.econbiz.de/10011408409
minimum wage causes more unemployment, but also leads to more skill formation as unemployment is concentrated on low … gains of more skill formation outweigh the social welfare losses of increased unemployment. Using a highly conservative …
Persistent link: https://www.econbiz.de/10010234542
. Both marginal tax rates are of ambiguous sign. The tax systems' effects on the wage formation and the unemployment rates …
Persistent link: https://www.econbiz.de/10011588141
We integrate social exclusion, operationalized in terms of long-term unemployment, into the theory of optimal … redistributive taxation. Our results show how an optimal mix of education policy, public employment, and support to the unemployed …, in conjunction with optimal income taxation, contributes to redistribution and reduced long-term unemployment. The second …
Persistent link: https://www.econbiz.de/10012694145
educational type with high consumption value and low effort costs. This increases the skill mismatch and aggregate unemployment in …
Persistent link: https://www.econbiz.de/10003299043
We study the joint design of nonlinear income and education taxes when the government pursues redistributive objectives … education. Market remuneration of agents depends on both their innate ability type and their educational choices. Our focus is … on income and education and shed light on the reasons for it and mechanisms through which it is done. We show how and why …
Persistent link: https://www.econbiz.de/10013390911
The analysis provides a new explanation for two widespread problems concerning European unemployment policy: the … disappointingly small effect of many past reform measures on unemployment, and the political difficulties in implementing more … implement broad-based reform strategies. Our analysis suggests that major unemployment policies are characterised by economic …
Persistent link: https://www.econbiz.de/10011295418