Easley, David; Kiefer, Nicholas M; Possen, Uri M - In: International Economic Review 34 (1993) 4, pp. 935-52
Insurance aspects of tax policies are studied in a simple intertemporal general equilibrium model in which agents are uncertain about both the future wage rates and the rate of return on capital. Taxation and lump-sum subsidy policies generally reduce employment, output, and the capital stock...