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By inverting Saez (2002)'s model of optimal income taxation, we characterize the redistributive preferences of the Irish government between 1987 and 2005. The (marginal) social welfare function revealed by this approach is consistently comparable over time and show great stability despite...
Persistent link: https://www.econbiz.de/10009729273
By inverting Saez (2002)'s model of optimal income taxation, we characterize the redistributive preferences of the Irish government between 1987 and 2005. The (marginal) social welfare function revealed by this approach is consistently comparable over time and show great stability despite...
Persistent link: https://www.econbiz.de/10013137249
We show how normative standpoints determine optimal taxation of wealth. Since wealth is not equal to capital, we find very different welfare implications of land rent-, bequest- and capital taxation. It is mainly land rents that should be taxed. We develop an overlapping generations model with...
Persistent link: https://www.econbiz.de/10012841621
metric for optimal carbon prices. Previous literature shows that inequality significantly influences the level of the social … cost of carbon, but mostly neglects a major source of inequality - heterogeneity in income below the national level. We … inequality between and within countries. In particular, we demonstrate that climate and distributional policy cannot be separated …
Persistent link: https://www.econbiz.de/10012870643
The literature on optimal redistributional instruments begins with the assumption that society has some preference for equality, leaving the precise degree unspecified. It then asks: How should society pursue that preference? More specifically, what kinds of policy instruments — whether...
Persistent link: https://www.econbiz.de/10012934183
We show how normative standpoints determine optimal taxation of wealth. Since wealth is not equal to capital, we find very different welfare implications of land rent-, bequest- and capital taxation. It is mainly land rents that should be taxed. We develop an overlapping generations model with...
Persistent link: https://www.econbiz.de/10012162503
Various economic literatures address the question whether first-best prescriptions for government policy require modification because redistributive income taxation distorts labor supply and cannot achieve the distributive ideal. Perhaps second-best rules for public goods provision, corrective...
Persistent link: https://www.econbiz.de/10014061860
coefficient, but is exogenous to any behavioral response. Analyzing the effect of this redistribution index on inequality, I find … redistribution and inequality … create a "simulated tax redistribution index", which captures the mechanical impact of the changes in tax policy on the gini …
Persistent link: https://www.econbiz.de/10014064224
The marginal social value of income redistribution is understood to depend on both the concavity of individuals … taxation and on normative inequality measurement, it seems to be accepted that the role of these two sources of concavity is … symmetric with regard to the social concern about inequality in the distribution of income. Direct examination of the question …
Persistent link: https://www.econbiz.de/10014074750
The marginal social value of income redistribution is understood to depend on both the concavity of individuals … taxation and on normative inequality measurement, it seems to be accepted that the role of these two sources of concavity is … symmetric with regard to the social concern about inequality in the distribution of income. Direct examination of the question …
Persistent link: https://www.econbiz.de/10014075235