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Charities and the political support for estate taxation

  • Casamatta, Georges
  • Cremer, Helmuth
  • Pestieau, Pierre

We explain why wealthy people often favor estate taxation, while wealthless people oppose it. Wealthy people devote part of their estate to charities. Estate taxation with tax breaks for charities increases contributions to an otherwise underprovided public good.

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Article provided by Elsevier in its journal Economics Letters.

Volume (Year): 115 (2012)
Issue (Month): 3 ()
Pages: 423-426

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Handle: RePEc:eee:ecolet:v:115:y:2012:i:3:p:423-426
Contact details of provider: Web page: http://www.elsevier.com/locate/ecolet

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  1. Andreoni, James, 1988. "Privately provided public goods in a large economy: The limits of altruism," Journal of Public Economics, Elsevier, vol. 35(1), pages 57-73, February.
  2. Bergstrom, Theodore & Blume, Lawrence & Varian, Hal, 1986. "On the private provision of public goods," Journal of Public Economics, Elsevier, vol. 29(1), pages 25-49, February.
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