Income taxation may affect the regional allocation of population when prices vary over space. Our contribution is to compare different income tax systems in a migration equilibrium model for Norway using improved measure of regional wage differences. We apply register data of individual wages...

Empirical evidence about income convergence among regions and countries is inconclusive and it is necessary to clarify the economic and institutional conditions for convergence. We investigate movements in the income distribution among regions in an integrated market with high mobility of labor,...