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A common claim in the policy discourse is that a government wishing to achieve equality of opportunity should use public provision of education for equalisation of opportunities rather than income taxation, which only equalizes incomes. We develop a framework in which the tax and education...
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How does the public provision of education and the deployment of distortionary tax and subsidy instruments differ when the government's objective is conventional welfarist compared to when the objective is the non-welfarist one of equality of opportunity? This paper develops a framework in which...
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Income inequality is rising but there seems to be no clear-cut effect on redistribution preferences, which is … differences in individual merit and it is primarily non-merit based inequality that affects redistribution preferences. This view … redistribution preferences and that it is a better predictor than previously used measures. This suggests that the socio …
Persistent link: https://www.econbiz.de/10012107524
This paper uses a laboratory experiment to explore individuals' motivations for redistribution. The laboratory results … show that as income uncertainty diminishes, participants become more extreme in their preferences for redistribution. The … findings suggest that for most people, the motivation for redistribution is financial self-interest – namely as insurance …
Persistent link: https://www.econbiz.de/10012981509
In an analysis of a two-type income tax model with endogenous wages, this paper shows that production efficiency is violated in the optimum with (i) non-linear and (ii) linear income taxation if and only if a distortionary tax schedule is implemented. These findings complement earlier results of...
Persistent link: https://www.econbiz.de/10014062922
This paper analyzes the role of production distortion for income redistribution in an international trade model. In … redistribution. It first shows that production inefficiency can be a part of a Pareto-efficient tax system when there is an …
Persistent link: https://www.econbiz.de/10014073661