Showing 1 - 10 of 12,493
We introduce tax competition for mobile labor into an optimal-taxation model with two skill levels. We analyze a symmetric subgame-perfect Nash equilibrium of the game between two governments and two taxpayer populations. Tax competition reduces the distortion from the informational asymmetry...
Persistent link: https://www.econbiz.de/10003982002
According to conventional wisdom internationally mobile capital should not be taxed or should be taxed at a lower rate than labour. An important underlying assumption behind this view is that there are no market imperfections, in particular that labour markets clear competitively. At least for...
Persistent link: https://www.econbiz.de/10013321161
We introduce tax competition for mobile labor into an optimal-taxation model with two skill levels. We analyze a symmetric subgame-perfect Nash equilibrium of the game between two governments and two taxpayer populations. Tax competition reduces the distortion from the informational asymmetry...
Persistent link: https://www.econbiz.de/10013094567
NOTE: The following is a description of the paper and not the actual abstract. Equilibrium tax and expenditure policies are studied in a federation consisting of a federal government and several state governments. Each state begins with an initial distribution of residents of different ability...
Persistent link: https://www.econbiz.de/10014060961
redistribution from the rich to the poor will improve social welfare, regardless of how small inequality is in the status quo … public good is pure, any given, positive level of income inequality can be shown to be socially excessive by suitably …
Persistent link: https://www.econbiz.de/10012756257
the reasons for being poor. We develop and test a theo-ry about support for redistribution in the presence of target …-specific beliefs about the causes of low and high incomes. Our theory predicts that target-specific beliefs about the poor matter most … welfare recipients supports our theory. We also find, in theory, the ex-istence of a moral release equilibrium in which the …
Persistent link: https://www.econbiz.de/10011993478
In this paper, we investigate the optimal taxation policy in a differential oligopoly game where the competing firms share the access to a productive renewable resource. We show that, in a linear Feedback Nash Equilibrium of the game, a linear Markov tax, imposed on the output, and specified as...
Persistent link: https://www.econbiz.de/10012930240
resulting inequality is perceived differently and how this affects redistribution. Across treatments, we compare a spectator …'s redistribution of two workers' earnings. If workers do not compete in a zero-sum setting, average redistribution decreases. In a … of redistribution and are more likely to be Democrats. …
Persistent link: https://www.econbiz.de/10013175708
Persistent link: https://www.econbiz.de/10009518277
Persistent link: https://www.econbiz.de/10001235019