On the political economy of nonlinear income taxation

Marcus Berliant and Miguel Gouveia

MPRA Paper from University Library of Munich, Germany

Abstract: The political economy setting of voting over general nonlinear income taxes with labor disincentives and information asymmetry in consumer/worker/voter types is considered. The economy is the realization of a finite draw from a continuous distribution. The revenue required from a draw is determined by Pareto optimal provision of a public good for that draw. Assuming that the government must meet the revenue requirement for any possible draw, in other words the tax is robust, a majority rule equilibrium is shown to exist at the median voter's preferred tax function out of this robust set.

Keywords: Voting; Income taxation; Public good; Robustness (search for similar items in EconPapers)
JEL-codes: D72 D82 H21 H41 (search for similar items in EconPapers)
Date: 2025-10-29
New Economics Papers: this item is included in nep-cdm and nep-pbe
References: Add references at CitEc
Citations:

Downloads: (external link)
https://mpra.ub.uni-muenchen.de/126649/1/MPRA_paper_126649.pdf original version (application/pdf)

Related works:
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: https://EconPapers.repec.org/RePEc:pra:mprapa:126649

Access Statistics for this paper

More papers in MPRA Paper from University Library of Munich, Germany Ludwigstraße 33, D-80539 Munich, Germany. Contact information at EDIRC.
Bibliographic data for series maintained by Joachim Winter ().