IDEAS home Printed from https://ideas.repec.org/a/mhr/finarc/urnsici0015-2218(200412)604_515rtettw_2.0.tx_2-j.html
   My bibliography  Save this article

Revisiting the Equity-Efficiency Trade-off: Taxation with Non-Cooperative Families

Author

Listed:
  • Alessandro Balestrino

Abstract

We consider an economy with intrahousehold inequality where household public goods like child care or care of the elderly are produced at home using time. Noncooperative behavior determines an inefficiently low provision of such goods, and the presence of contribution productivity differentials implies comparative advantages in home work versus market work. The joint consideration of optimal tax rules and tax reform rules establishes a presumption in favor of high progressivity achieved with a limited number of income brackets, possibly a flat-rate system. High progressivity is instrumental in remedying the inefficiency associated with the lack of cooperation, while limiting the differentiation of tax rates turns out to favor the full exploitation of comparative advantages.

Suggested Citation

  • Alessandro Balestrino, 2004. "Revisiting the Equity-Efficiency Trade-off: Taxation with Non-Cooperative Families," FinanzArchiv: Public Finance Analysis, Mohr Siebeck, Tübingen, vol. 60(4), pages 515-515, December.
  • Handle: RePEc:mhr:finarc:urn:sici:0015-2218(200412)60:4_515:rtettw_2.0.tx_2-j
    as

    Download full text from publisher

    To our knowledge, this item is not available for download. To find whether it is available, there are three options:
    1. Check below whether another version of this item is available online.
    2. Check on the provider's web page whether it is in fact available.
    3. Perform a search for a similarly titled item that would be available.

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Olivier Bargain & Olivier Donni, 2014. "Optimal Commodity Taxation and Redistribution within Households," Economica, London School of Economics and Political Science, vol. 81(321), pages 48-62, January.
    2. Haizhen Mou & Stanley L. Winer, 2012. "Fiscal Incidence when both Individual Welfare and Family Structure Matter: The Case of Subsidization of Home-Care for the Elderly," CESifo Working Paper Series 3731, CESifo Group Munich.

    More about this item

    Keywords

    noncooperative behaviour; public household goods; optimal taxation; income tax; tax reform;

    JEL classification:

    • H2 - Public Economics - - Taxation, Subsidies, and Revenue
    • D1 - Microeconomics - - Household Behavior

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:mhr:finarc:urn:sici:0015-2218(200412)60:4_515:rtettw_2.0.tx_2-j. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Thomas Wolpert). General contact details of provider: https://www.mohr.de/fa .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.