The Elasticity of Taxable Income: Evidence and Implications
E790055
"The Elasticity of Taxable Income: Evidence and Implications" is a highly influential economics paper by Emmanuel Saez that analyzes how taxpayers respond to changes in marginal tax rates and draws policy conclusions for optimal tax design.
Statements (48)
| Predicate | Object |
|---|---|
| instanceOf |
academic paper
ⓘ
economics paper ⓘ |
| aimsTo |
link empirical elasticities to optimal tax formulas
ⓘ
provide a unified framework for interpreting taxable income responses ⓘ |
| analyzes |
high-income taxpayers
ⓘ
taxable income responses using tax return data ⓘ |
| argues |
taxable income elasticity can guide optimal top tax rate formulas
ⓘ
taxable income elasticity summarizes all behavioral responses to taxation ⓘ |
| author | Emmanuel Saez NERFINISHED ⓘ |
| concludes | elasticity of taxable income is a key statistic for tax policy ⓘ |
| conclusion |
higher elasticities imply stronger efficiency costs of high marginal tax rates
ⓘ
taxable income elasticity is central for evaluating efficiency costs of taxation ⓘ |
| contributesTo |
empirical public finance literature
ⓘ
optimal tax theory ⓘ |
| countryOfContext | United States NERFINISHED ⓘ |
| emphasizes |
heterogeneity of responses across income groups
ⓘ
importance of tax base definition for elasticity estimates ⓘ role of tax avoidance opportunities in measured elasticities ⓘ |
| field |
public economics
ⓘ
taxation economics ⓘ |
| focusesOn |
behavioral response to income taxation
ⓘ
marginal tax rate changes ⓘ optimal income tax design ⓘ |
| influencedBy |
James Mirrlees' optimal tax theory
ⓘ
Martin Feldstein's work on taxable income elasticity ⓘ |
| influences |
debates on tax rate changes for high earners
ⓘ
design of progressive income tax systems ⓘ research on top income taxation ⓘ |
| language | English ⓘ |
| mainConcept | elasticity of taxable income ⓘ |
| provides |
empirical estimates of taxable income elasticity
ⓘ
policy implications for tax design ⓘ |
| recognizedAs |
highly influential paper in public finance
ⓘ
key reference on taxable income elasticity ⓘ |
| recommends |
careful interpretation of short-run versus long-run elasticities
ⓘ
using estimated elasticities in setting top marginal tax rates ⓘ |
| relatedConcept |
Laffer curve
NERFINISHED
ⓘ
deadweight loss of taxation ⓘ |
| relatedWork |
Optimal Income Transfer Programs: Intensive versus Extensive Labor Supply Responses
NERFINISHED
ⓘ
Top Incomes and the Great Recession: Recent Evolutions and Policy Implications NERFINISHED ⓘ |
| studies | taxable income response to marginal tax rates ⓘ |
| topic |
income shifting and timing responses
ⓘ
income tax progressivity ⓘ labor supply responses to taxation ⓘ tax avoidance and evasion responses ⓘ |
| usesMethod |
difference-in-differences style comparisons
ⓘ
panel data analysis ⓘ quasi-experimental variation in tax reforms ⓘ |
Referenced by (1)
Full triples — surface form annotated when it differs from this entity's canonical label.