Public Good Provision and the Comparative Statics of Optimal Nonlinear Income Taxation

Craig Brett () and John Allan Weymark ()

No 415, Working Papers from Department of Economics, Vanderbilt University

Abstract: Comparative static properties of the solution to an optimal nonlinear income tax problem are provided for a model in which the government both designs an income tax schedule for redistributive purposes and provides a public good optimally. There are two types of individuals, distinguished by their skill levels, who have the same quasilinear preferences for labour supply and the consumption of a private and a public good. The parameters for which comparative statics are obtained are the weights in a weighted utilitarian social welfare function, the prices of the private and public goods, a taste parameter that measures the onerousness of working, and the individual skill levels.

Keywords: Optimal income taxation; public goods; comparative statics (search for similar items in EconPapers)
JEL-codes: D82 H21 H41 (search for similar items in EconPapers)
New Economics Papers: this item is included in nep-pbe and nep-pub
Date: 2004-06
View list of references View citations in EconPapers

Downloads: (external link)
http://www.vanderbilt.edu/Econ/wparchive/workpaper/vu04-w15.pdf First version, 2004 (application/pdf)

Related works:
Journal Article: PUBLIC GOOD PROVISION AND THE COMPARATIVE STATICS OF OPTIMAL NONLINEAR INCOME TAXATION (2008)
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: http://EconPapers.repec.org/RePEc:van:wpaper:0415

Access Statistics for this paper

More papers in Working Papers from Department of Economics, Vanderbilt University
Contact information at EDIRC.
Series data maintained by Diana Weymark ().