Optimal Redistributive Taxation with both Labor Supply and Labor Demand Responses

This paper characterizes the optimal redistributive tax schedule in a matching unemployment framework where (voluntary) nonparticipation and (involuntary) un- employment are endogenous. The optimal employment tax rate is given by an inverse employment elasticity rule. This rule depends on the global...

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Bibliographic details

Main Author:	Van der Linden, Bruno Lehmann, Etienne Jacquet, Laurence Michèle
Format:	Paper
Language:	English
Place of publication:	2012
Related:	THEMA (THéorie Economique, Modélisation et Applications), Université de Cergy-Pontoise
Data of publication:	2012
Series:	THEMA Working Papers
Subjects:	Optimal taxation; Labor market frictions; Unemployment; Kalai so- lution.
Online Access:	available in Bonn?
Database:	RePEc RePEc IDEAS Database information Databases - DBIS