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  • Aronsson, Thomas,1963-Umeå universitet,Nationalekonomi (author)

Social Comparisons and Optimal Taxation in a Small Open Economy

  • Article/chapterEnglish2019

Publisher, publication year, extent ...

  • 2019-02-06
  • John Wiley & Sons,2019
  • printrdacarrier

Numbers

  • LIBRIS-ID:oai:DiVA.org:umu-145728
  • https://urn.kb.se/resolve?urn=urn:nbn:se:umu:diva-145728URI
  • https://doi.org/10.1111/sjoe.12308DOI
  • https://gup.ub.gu.se/publication/280558URI

Supplementary language notes

  • Language:English
  • Summary in:English

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Classification

  • Subject category:ref swepub-contenttype
  • Subject category:art swepub-publicationtype

Notes

  • In this paper, we analyze how international capital mobility affects the optimal labor and capital income tax policy in a small open economy when consumers care about relative consumption. The main results crucially depend on whether the government can tax returns on savings abroad. If the government can use flexible residence-based capital income taxes, then the optimal policy rules from a closed economy largely carry over to the case of a small open economy. If it cannot, then capital income taxes become completely ineffective. The labor income taxes must then indirectly also reflect the corrective purpose that the absent capital income tax would have had.

Subject headings and genre

Added entries (persons, corporate bodies, meetings, titles ...)

  • Johansson-Stenman, Olof,1966Gothenburg University,Göteborgs universitet,Institutionen för nationalekonomi med statistik,Department of Economics(Swepub:gu)xjohol (author)
  • Sjögren, Tomas,1967-Umeå universitet,Nationalekonomi(Swepub:umu)tosj0002 (author)
  • Umeå universitetNationalekonomi (creator_code:org_t)

Related titles

  • In:Scandinavian Journal of Economics: John Wiley & Sons121:4, s. 1500-15320347-05201467-9442

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