Male Labor Supply and Generational Fiscal Policy
Christian vom Lehn (),
Eric Fisher () and
Review of Economic Dynamics, 2018, vol. 28, 121-149
Between 1948 and 2000, hours worked by men in the United States fell by twenty percent. Using a life cycle model of labor supply with intensive and extensive margins, we assess how much of this decline can be accounted for by changes in tax and transfer policies. We use policy measures from the generational accounting literature, capturing the lifetime fiscal burdens faced by each male birth-year cohort. Changes in age demographics and fiscal policy account for 44% of the decline in hours worked. Policy alone explains approximately a quarter of the decline, both in the aggregate and across age groups. (Copyright: Elsevier)
Keywords: Generational accounts; Taxes; Male labor supply; Life cycle (search for similar items in EconPapers)
JEL-codes: E24 E62 H24 H31 H6 J11 J22 (search for similar items in EconPapers)
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