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In this paper we provide a novel justification for the use of minimum wage rules to supplement the optimal tax-and-transfer system. We demonstrate that if labor supply decisions are concentrated along the intensive margin and employment is efficiently rationed, a minimum wage rule can be...
Persistent link: https://www.econbiz.de/10010337632
Expansion of the public sector and redistributive policies may reduce income inequality, but formal tests suffer from the problem of endogeneity of government size with respect to the distribution of income. Studying 30 European countries over the period 2004-2015, we apply instrumental variable...
Persistent link: https://www.econbiz.de/10012151150
Expansion of the public sector and redistributive policies may reduce income inequality, but formal tests suffer from the problem of endogeneity of government size with respect to the distribution of income. Studying 30 European countries over the period 2004-2015, we apply instrumental variable...
Persistent link: https://www.econbiz.de/10011955505
Expansion of the public sector and redistributive policies may reduce income inequality, but formal tests suffer from the problem of endogeneity of government size with respect to the distribution of income. Studying 30 European countries over the period 2004-2015, we apply instrumental variable...
Persistent link: https://www.econbiz.de/10012894558
to a flat (inferior) regime is not too welfare-costly, even when the extent of re-distribution is significant. Therefore … redistribution. -- flat tax ; re-distribution ; migration ; tax-competition …
Persistent link: https://www.econbiz.de/10009130229
This chapter reviews the theory of the voluntary public and private redistribution of wealth elaborated by economic … voluntary redistribution of income or wealth. The theory concentrates on lump-sum voluntary transfers, individual or collective … altruistic transfers by Pareto-efficient public redistribution. The chapter is organized as follows. Section 2 presents an …
Persistent link: https://www.econbiz.de/10014023678
The introduction of a flat tax is supposed to have several advantages. Administration and compliance costs are reduced, as well as incentives for tax evasion. Furthermore, positive employment and growth effects are expected. Despite these advantages, a flat rate tax is not very popular in most...
Persistent link: https://www.econbiz.de/10010297020
In this paper, we challenge the conventional wisdom that due to the negative correlation between family size and earning ability, family size can be used as a 'tagging' device, and calls for subsidizing children (via child allowances) to enhance egalitarian objectives. We show that the case for...
Persistent link: https://www.econbiz.de/10010266085
to a flat (inferior) regime is not too welfare-costly, even when the extent of re-distribution is significant. Therefore … redistribution. …
Persistent link: https://www.econbiz.de/10010274950
When the asset market is incomplete, there typically exist taxes on trades in assets and a redistribution of revenue in …
Persistent link: https://www.econbiz.de/10010318989