Optimal taxation with human capital

Autor*innen

• Claudia Hermeling

Parameter

• Lehrbücher
• Universitätslehrbücher

Mehr zum Buch

This dissertation contributes to the theoretical foundation of optimal tax codes in models incorporating human capital formation. A tax system should generate necessary government revenue while minimizing economic distortion, a challenge known as the "Ramsey problem," named after Ramsey (1927), who first addressed the optimal tax structure considering consumer and firm reactions. This work extends the literature on optimal taxation by introducing new results regarding the taxation of wage income along balanced growth paths and exploring the existence of such paths without government bonds. A notable finding is the characterization of optimal taxation outside steady state in a standard two-sector growth model with human capital, marking a significant innovation as existing literature largely focuses on steady state results. The dissertation also examines applications like comprehensive income taxation, the principle behind most real-world income tax systems, providing a partial theoretical foundation within dynamic Ramsey taxation literature and highlighting potential practical complications. Additionally, it geometrically characterizes zero tax results in relation to indifference curves and implementability constraints, offering a unified framework for studying phenomena in both static and dynamic Ramsey problems and enabling analysis of deviations from zero tax results in more complex settings. This new characterization is ap

• Sprache: Englisch
• Erscheinungsdatum: 2006
• Einband: Paperback