Score contribution per author:
α: calibrated so average coauthorship-adjusted count equals average raw count
This paper compares a linear income tax with a modified minimum income guarantee that uses means testing. The schemes are evaluated in terms of both their ability to reduce poverty and their influence on social welfare (defined in terms of individuals' utilities). The comparisons involve a lexicographic approach whereby poverty reduction is regarded as the primary objective. Using a range of poverty measures and social welfare functions, simulations show that the linear income tax dominates the minimum income guarantee. Copyright 1997 by Royal Economic Society.