Optimal income taxation : An ordinal approach
In a model where agents have unequal production skills and different preferences, we build social welfare functions which rely only on ordinal non-comparable information on individual preferences. Social welfare functions are required to satisfy properties of compensation for inequalities in skills, and responsibility for preferences. Then, assuming skills and preferences are unobservable, we use these social welfare functions to design optimal income tax schemes. We obtain ethical foundations for, among others, a maximized minimal income, a zero marginal tax rate for low incomes, and increasing marginal tax rates.
(This abstract was borrowed from another version of this item.)
|Date of creation:||1999|
|Contact details of provider:|| Postal: 33, boulevard du port - 95011 Cergy-Pontoise Cedex|
Phone: 33 1 34 25 60 63
Fax: 33 1 34 25 62 33
Web page: http://thema.u-cergy.fr
More information through EDIRC
Please 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.:
- Bossert, W & Fleurbaey, M & Van de gaer, D, 1996.
"On Second-Best Compensation,"
9601, University of Waterloo, Department of Economics.
- W. Bossert & M. Fleurbaey & D. Van de gaer, 1996. "On second-best compensation," THEMA Working Papers 96-07, THEMA (THéorie Economique, Modélisation et Applications), Université de Cergy-Pontoise.
- Bossert, W. & Fleurbaey, M. & Van de gaer, D., 1996. "On Second-Best Compensation," Papers 9607, Paris X - Nanterre, U.F.R. de Sc. Ec. Gest. Maths Infor..
- J. A. Mirrlees, 1971. "An Exploration in the Theory of Optimum Income Taxation," Review of Economic Studies, Oxford University Press, vol. 38(2), pages 175-208.
- M. Fleurbaey & F. Maniquet, 2008. "Fair social orderings," Economic Theory, Springer;Society for the Advancement of Economic Theory (SAET), vol. 34(1), pages 25-45, January.
- FLEURBAEY, Marc & MANIQUET, François, "undated". "Fair social orderings," CORE Discussion Papers RP 1995, Université catholique de Louvain, Center for Operations Research and Econometrics (CORE).
- Marc Fleurbaey & François Maniquet, 2008. "Fair social orderings," Post-Print hal-00246525, HAL.
- Fleurbaey, Marc & Maniquet, Francois, 1996. "Fair allocation with unequal production skills: The No Envy approach to compensation," Mathematical Social Sciences, Elsevier, vol. 32(1), pages 71-93, August.
- Kaneko, Mamoru & Nakamura, Kenjiro, 1979. "The Nash Social Welfare Function," Econometrica, Econometric Society, vol. 47(2), pages 423-435, March.
- Kevin W. S. Roberts, 1980. "Possibility Theorems with Interpersonally Comparable Welfare Levels," Review of Economic Studies, Oxford University Press, vol. 47(2), pages 409-420.
- M. Fleurbaey & F. Maniquet, 2000. "Fair Social Orderings With Unequal Production Skills," THEMA Working Papers 2000-17, THEMA (THéorie Economique, Modélisation et Applications), Université de Cergy-Pontoise.
- Marc Fleurbaey & Maurice Salles & John Weymark, 2008. "Justice, Political Liberalism and Utilitarianism," Post-Print hal-00246415, HAL. Full references (including those not matched with items on IDEAS)