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How Should Tax Progressivity Respond to Rising Income Inequality?

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NBER2020-10-01 更新2025-01-04 收录
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We address this question in a heterogeneous-agent incomplete-markets model featuring exogenous idiosyncratic risk, endogenous skill investment, and flexible labor supply. The tax and transfer schedule is restricted to be log-linear in income, a good description of the US system. Rising inequality is

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2020-10-01
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