How work effort responds to wage taxation: An experimental test of a zero top marginal tax rate

Authors
Sillamaa, MA
Citation
Ma. Sillamaa, How work effort responds to wage taxation: An experimental test of a zero top marginal tax rate, J PUBLIC EC, 73(1), 1999, pp. 125-134
Citations number
8
Categorie Soggetti
Economics
Journal title
JOURNAL OF PUBLIC ECONOMICS
ISSN journal
00472727 → ACNP
Volume
73
Issue
1
Year of publication
1999
Pages
125 - 134
Database
ISI
SICI code
0047-2727(199907)73:1<125:HWERTW>2.0.ZU;2-3
Abstract
Phelps (1973); Sadka (1976); Seade (1977) presented theorems that showed wo rk effort could increase if the marginal tax rate was zero at the top incom e. This was tested in a laboratory experiment. The prediction was supported . (C) 1999 Elsevier Science S.A. All rights reserved.