OPTIMAL TAXATION OF FAMILIES: MIRRLEES MEETS BECKER

• 成果类型: Article
• 署名作者: Kurnaz, Musab
• 署名单位: University of North Carolina; University of North Carolina Charlotte
• 刊物名称: ECONOMIC JOURNAL
• ISSN/ISSBN: 0013-0133
• DOI: 10.1093/ej/ueab012
• 发表日期: 2021
• 页码: 2984-3011
• 关键词: redistributive taxation; income-tax; fertility; ECONOMICS; exemption; POLICY; women

摘要

This paper studies optimal taxation of families-a combination of an income tax schedule and child tax credits. Child-rearing requires both goods and parental time, which distinctly impact the design of optimal child tax credits. In the quantitative analysis, I calibrate my model to the US economy and show that the optimal child tax credits are U-shaped in income and decrease with family size. In particular, the optimal credits decrease in the first nine deciles of the income distribution and then increase thereafter. Implementing the optimum yields large welfare gains.