## OPTIMAL MARGINAL TAX RATES FOR LOW INCOMES: POSITIVE, NEGATIVE, OR ZERO? BY STEFAN HOMBURG (2002)

### Citations

1175 |
Nonlinear Programming
- Bertsekas
- 1995
(Show Context)
Citation Context ... allows using a conventional Lagrangean approach without apology, since the familiar firstorder conditions are necessarily fulfilled at an optimum, irrespective of the problem’s convexity properties (=-=Bertsekas 1999-=-, proposition 3.1.1), and thus can be used to characterize the ÅzÆ Ç;È É Ê4Æ Ë"ÅzÌ Í!Ë É4Î Æ Ï È"Ð Ê(Ë"Ñ$ÅÓÒ"Ô Ï Æ Õ×Ö Î Ê4Ð7Ø Å Ô%Ë"Ï h for the resource constraint and the adjacent selfselection cons... |

557 | An exploration in the theory of optimum income taxation - Mirrlees - 1971 |

232 | 2000b, Optimal income transfer programs: intensive versus extensive labor supply responses, NBER Working Paper No
- Saez
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Citation Context ...t zero fiscal cost as transfers are initially equal for the two groups. As a result, it is unambiguously welfare enhancing to provide a larger transfer to low income workers than to the unemployed.” (=-=Saez 1999-=-, p. 12). This is clearly wrong. Assume transfers to persons 0 and 1 are equal at the outset. Introducing a strictly negative marginal tax rate means offering person 1 an extra consumption, relative t... |

173 | Self-selection and Pareto efficient taxation - Stiglitz - 1982 |

86 | Income Taxation with Fixed Hours of Work, - Diamond - 1980 |

82 | On the shape of optimal tax schedules - Seade - 1977 |

51 | On the specification of models of optimum income taxation - Stern - 1976 |

40 | Nonlinear Pricing in a Finite Economy, - Guesnerie, Seade - 1982 |

29 | On the sign of the optimum marginal income tax,” - Seade - 1982 |

20 |
Effects of the Earned Income Tax Credit on Income and Welfare
- Browning
- 1995
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Citation Context ..., output and employment increase. This suggests that in evaluating such a reform measure one must carefully distinguish welfare effects on the one hand and output and employment effects on the other (=-=Browning, 1995-=-). Most empirical analyses of the EITC (like Hotz and Scholz, 2001) concentrate solely on the latter, which gives rise to a bias in favor of the EITC. Keynes once coined the famous phrase that one can... |

20 | Inherent inequality and the optimal graduation of marginal tax rates. - Kanbur, Tuomala - 1994 |

3 | The Optimal Income Tax: Restatement and Extensions
- Homburg
- 2004
(Show Context)
Citation Context ...loyed. As a11 consequence, workers have a lower marginal utility of consumption than nonworkers. This is obvious in the case of an additive utility function but also true if leisure is non-inferior (=-=Homburg 2002-=-, lemma 2). Hence, redistributing consumption from workers to nonworkers increases the social objective, and the government will do so as much as possible, equation (19) characterizing the state where... |

3 | Scholz (2001), “The earned income tax credit”, NBER Working paper No.8078 - HOTZ, K |