Taxing Women: A Macroeconomic Analysis
Abstract
Based on well-known evidence on labor supply elasticities, several authors have concluded that women should be taxed at lower rates than men. We evaluate the quantitative implications of taxing women at a lower rate than men. Relative to the current system of taxation, setting a proportional tax rate on married females equal to 4% (8%) increases output and married female labor force participation by about 3.9% (3.4%) and 6.9% (4.0%), respectively. Gender-based taxes improve welfare and are preferred by a majority of households. Nevertheless, welfare gains are higher when the U.S. tax system is replaced by a proportional, gender-neutral income tax.Download Info
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Paper provided by Institute for the Study of Labor (IZA) in its series IZA Discussion Papers with number 5962.Length: 53 pages
Date of creation: Sep 2011
Date of revision:
Publication status: published in: Journal of Monetary Economics, 2012, 59 (5), 111–128.
Handle: RePEc:iza:izadps:dp5962
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Related research
Keywords: two-earner households; labor force participation; taxation;Other versions of this item:
- Guner, Nezih & Kaygusuz, Remzi & Ventura, Gustavo, 2012. "Taxing women: A macroeconomic analysis," Journal of Monetary Economics, Elsevier, vol. 59(1), pages 111-128.
- Nezih Guner, 2011. "Taxing Women: A Macroeconomic Analysis," 2011 Meeting Papers 581, Society for Economic Dynamics.
- Guner, Nezih & Kaygusuz, Remzi & Ventura, Gustavo, 2012. "Taxing Women: A Macroeconomic Analysis," CEPR Discussion Papers 8735, C.E.P.R. Discussion Papers.
- E62 - Macroeconomics and Monetary Economics - - Macroeconomic Policy, Macroeconomic Aspects of Public Finance, and General Outlook - - - Fiscal Policy
- H31 - Public Economics - - Fiscal Policies and Behavior of Economic Agents - - - Household
- J12 - Labor and Demographic Economics - - Demographic Economics - - - Marriage; Marital Dissolution; Family Structure
- J22 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Time Allocation and Labor Supply
This paper has been announced in the following NEP Reports:
- NEP-ACC-2011-09-22 (Accounting & Auditing)
- NEP-ALL-2011-09-22 (All new papers)
- NEP-LAB-2011-09-22 (Labour Economics)
- NEP-MAC-2011-09-22 (Macroeconomics)
- NEP-PBE-2011-09-22 (Public Economics)
- NEP-PUB-2011-09-22 (Public Finance)
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References listed on IDEASPlease report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
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Citations
Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.Cited by:
- Marios Karabarbounis, 2012. "Heterogeneity in Labor Supply Elasticity and Optimal Taxation," 2012 Meeting Papers 655, Society for Economic Dynamics.
- Aspen Gorry & Ezra Oberfield, 2012.
"Optimal Taxation Over the Life Cycle,"
Review of Economic Dynamics,
Elsevier for the Society for Economic Dynamics, vol. 15(4), pages 551-572, October.
- Aspen Gorry & Ezra Oberfield, 2012. "Code files for "Optimal Taxation over the Life Cycle"," Computer Codes 11-116, Review of Economic Dynamics.
- Aspen Gorry & Ezra Oberfield, 2009. "Optimal Taxation Over the Life Cycle," 2009 Meeting Papers 536, Society for Economic Dynamics.
- Gorry, Aspen & Oberfield, Ezra, 2010. "Optimal Taxation over the Life Cycle," MPRA Paper 25297, University Library of Munich, Germany.
- Pierre-Richard Agénor, 2012. "A Computable OLG Model for Gender and Growth Policy Analysis," Centre for Growth and Business Cycle Research Discussion Paper Series 169, Economics, The Univeristy of Manchester.
- Sara Rica & Juan Dolado & Cecilia Garcia Peñalosa, 2012. "GINI DP 24: On gender gaps and self-fulfilling expectations: An alternative approach based on paid-for-training," GINI Discussion Papers 24, AIAS, Amsterdam Institute for Advanced Labour Studies.
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