Zoutman, Floris T.; Jacobs, Bas - Institutt for foretaksøkonomi, Norges Handelshøyskole … - 2014
This paper extends the Mirrlees (1971) model of optimal non-linear income taxation with a monitoring technology that allows the government to verify labor effort at a positive, but non-infinite cost. We analyze the joint determination of the non-linear monitoring and tax schedules and the...