We study the choice of club membership, when member-countries' national governments set their tax policies non-cooperatively. Federal policy (in the form of club membership) has a higher constitutional status than national policies (in the form of income tax rates). This allows federal policy to...

We derive median-voter results and study the shape of redistributional taxes when voters elect a candidate who imposes taxes to maximize own utility. Under general conditions, a median-productivity candidate is a Condorcet winner. The imposed tax function is nonlinear, may place high marginal...

In exploring the impact of tax policy on labor-market performance, the paper first investigates how tax reform impacts labor supply and equilibrium unemployment in representative agent models. The impact of tax policy on labor market performance depends importantly on various other labor-market...