This paper analyses how governments should tax labour income accruing to a group of highly skilled and geographically mobile individuals who divide their time or career between several jurisdictions. The analysis differs from previous models on migration and taxation by addressing optimal...

The impacts of changing the number of individuals of a particular skill level on the solutions to two versions of the finite population optimal nonlinear income tax problem are investigated. In one version, preferences are quasilinear in leisure. For this version, it is shown that it is possible...

Tax competition between two governments who choose nonlinear income tax schedules to maximize the average utility of their residents when skills are unobservable and labor is perfectly mobile is examined. We show that there are no equilibria in which there is a skill type that pays positive...

This chapter reviews the literature on intergenerational risk sharing (IRS). We explore to what extent and how a market economy with an appropriate institutional setting can replicate a social planner's solution in models with increasing levels of complexity. In particular, we do this for...

We explore mechanism design with outcome-based social preferences. Agents' social preferences and private payoffs are all subject to asymmetric information. We assume quasi-linear utility and independent types. We show how the asymmetry of information about agents' social preferences can be...

This paper, intended for researchers, introduces a stochastic method for calculating the optimal tax schedule based on taxpayer utility, population skill distribution, and wages. It implements and extends the classic approach to optimal income tax calculation introduced by J.A. Mirrlees. A...

In Optimalsteuerlehre und Steuerpolitik werden Steuern auf höhere Einkommen und Vermögen kontrovers diskutiert. In Modellen, die auf wenigen empirisch zu bestimmenden Parametern beruhen, hängen die optimalen Spitzensteuersätze von den Anpassungsreaktionen der Steuerpflichtigen und von der...

In Optimalsteuerlehre und Steuerpolitik werden Steuern auf höhere Einkommen und Vermögen kontrovers diskutiert. In Modellen, die auf wenigen empirisch zu bestimmenden Parametern beruhen, hängen die optimalen Spitzensteuersätze von den Anpassungsreaktionen der Steuerpflichtigen und von der...

How is the optimal level of Pigouvian taxation influenced by distributive concerns? With second-best instruments, a higher level of income redistribution calls for a lower level of Pigouvian taxation. More redistribution implies higher distortions from income taxation. Pigouvian tax revenues...