Within the Blanchard [Blanchard, O., 1985. Debt, Deficits and Finite Horizons. Journal of Political Economy 93 (2), 223–247] model, we determine optimal capital and labor income taxation. We discuss the conditions for non-zero capital income taxation in the long term. We make explicit the...

I propose a new overlapping generations model, in which individuals face different income levels, life expectancies and borrowing constraints to study Ramsey optimal taxation. Contrary to previous contributions, I find that optimal capital income taxation generally differs from zero in the long...

The author studies age-dependent optimal taxation in an environment that takes into consideration changes in consumption behavior over the life cycle due to changes in labor income paths and borrowing limits. Income mobility is defined as an exogenous rate at which individuals change from a...