Economics at your fingertips  

A Note on Redistributive Taxation, Labor Supply, and National Income

Volker Grossmann ()

International Journal of Business and Economics, 2003, vol. 2, issue 1, 39-48

Abstract: This paper shows that redistributive taxation can raise per capita income provided that labor supply is sufficiently backward-bending at higher wage rates. Moreover, we study general equilibrium effects regarding work incentives for less able individuals. Finally, we show that optimal taxation typically requires per capita income to decrease with higher taxation at the margin.

Keywords: backward-bending labor supply; linear income tax; national income (search for similar items in EconPapers)
JEL-codes: H31 H21 (search for similar items in EconPapers)
Date: 2003
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (2) Track citations by RSS feed

Downloads: (external link) (application/pdf) (text/html)

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:

Access Statistics for this article

International Journal of Business and Economics is currently edited by Kun-Huang Huarng (Editor-in-Chief), Domingo Ribeiro Soriano (Associate Editor), Feng-Jyh Lin (Associate Editor) and Fang-Yi Lo (Managing Editor)

More articles in International Journal of Business and Economics from School of Management Development, Feng Chia University, Taichung, Taiwan Contact information at EDIRC.
Bibliographic data for series maintained by Chia-Hung Wang ().

Page updated 2019-06-18
Handle: RePEc:ijb:journl:v:2:y:2003:i:1:p:39-48