Recent theoretical work has argued that a small open economy should use residence-based but not source-based taxes on capital income. Given the ease with which residents can evade domestic taxes on foreign earnings from capital, however, a residence-based tax may not be administratively...

The integration of world capital markets carries important implications for the design and impact of tax policies. This paper evaluates research findings on international taxation, drawing attention to connections and inconsistencies between theoretical and empirical observations.Diamond and...

Given the temptation by government officials to use some of their budget for "perks," residents face the problem of inducing officials to reduce such "waste." The threat to vote out of office officials who perform poorly is one possible response. In this paper, we explore how the competition for...

Top economists provide much-needed guidance--and some surprising conclusions--in response to rising public concerns about inequality in the U.S. tax system.