A note on incomplete factor taxation

A-Tier
Journal: Journal of Public Economics
Year: 2008
Volume: 92
Issue: 10-11
Pages: 2275-2281

Score contribution per author:

4.022 = (α=2.01 / 1 authors) × 2.0x A-tier

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

Abstract

Optimal capital taxes may be positive in the steady state in Ramsey models with an incomplete set of factor taxes. I show this possibility crucially depends on how fiscal policy is constrained at date t = 0. If the government is barred from manipulating the value of initial assets, the Chamley-Judd result reappears: the optimal capital tax is always zero in the steady state.

Technical Details

RePEc Handle
repec:eee:pubeco:v:92:y:2008:i:10-11:p:2275-2281
Journal Field
Public
Author Count
1
Added to Database
2026-01-24