Estate Taxation with Altruism Heterogeneity

S-Tier
Journal: American Economic Review
Year: 2013
Volume: 103
Issue: 3
Pages: 489-95

Score contribution per author:

4.022 = (α=2.01 / 2 authors) × 4.0x S-tier

α: calibrated so average coauthorship-adjusted count equals average raw count

Abstract

We develop a theory of optimal estate taxation in a model where bequest inequality is driven by differences in parental altruism. We show that a wide range of results are possible, from positive taxes to subsidies. The results depend on redistributive objectives implicit in the cardinal specification of utility and social welfare functions. We propose a normalization that is helpful in classifying these different possibilities. We isolate cases where the optimal policy bans negative bequests and taxes positive bequests, features present in most advanced countries.

Technical Details

RePEc Handle
repec:aea:aecrev:v:103:y:2013:i:3:p:489-95
Journal Field
General
Author Count
2
Added to Database
2026-01-25