Hougaard Jensen, Svend Erik; Nielsen, Søren Bo; Haagen … - 1993
This paper analyses the effects of cuts in the marginal tax rates on income from labour and capital on the macroeconomy … housing and business capital, and a public pension system. We find that a revenue-neutral cut in the marginal labour tax rate … yields a Pareto-improvement, whereas a fall in the capital income tax rate tends to benefit the current older generations as …
