The Impact of Labor Taxes on Labor Supply

The Impact of Labor Taxes on Labor Supply
Author :
Publisher : AEI Press
Total Pages : 129
Release :
ISBN-10 : 9780844743578
ISBN-13 : 0844743577
Rating : 4/5 (78 Downloads)

Book Synopsis The Impact of Labor Taxes on Labor Supply by : Richard Rogerson

Download or read book The Impact of Labor Taxes on Labor Supply written by Richard Rogerson and published by AEI Press. This book was released on 2010-06-16 with total page 129 pages. Available in PDF, EPUB and Kindle. Book excerpt: As the Bush-era tax cuts are set to expire in 2010, ambitious health care legislation is moving through Congress, and entitlement programs are growing at unsustainable rates, U.S. policymakers face important questions about the optimal size and scope of federal spending. The federal government finances its spending through labor taxes, including taxes on income, payroll, and consumption-taxes that generate significant disincentives for employment. In Taxes, Transfers, and Labor Supply: An International Perspective, Richard Rogerson contends that the unintended consequences of increased labor taxes would be too large for policymakers to ignore. Rogerson compares fifty years of time series data from the United States and fourteen other OECD countries. He finds that a 10 percentage point increase in the tax rate on labor leads to a 10 to 15 percent decrease in hours of work. Even a 5 percent decrease in hours worked would mean a decline in labor market productivity equating to a serious recession. But, whereas recessions are temporary, changes in government spending patterns have permanent repercussions. Although government spending provides citizens with many important benefits, these benefits must be weighed against the disincentivizing effects of increased labor taxes. Policymakers who fail to account for this decrease in labor productivity risk expanding government programs beyond the economy's ability to support them.


The Impact of Labor Taxes on Labor Supply Related Books

The Impact of Labor Taxes on Labor Supply
Language: en
Pages: 129
Authors: Richard Rogerson
Categories: Business & Economics
Type: BOOK - Published: 2010-06-16 - Publisher: AEI Press

DOWNLOAD EBOOK

As the Bush-era tax cuts are set to expire in 2010, ambitious health care legislation is moving through Congress, and entitlement programs are growing at unsust
Tax Policy and Labor Market Performance
Language: en
Pages: 341
Authors: Jonas Agell
Categories: Business & Economics
Type: BOOK - Published: 2006 - Publisher: MIT Press

DOWNLOAD EBOOK

Other chapters examine the effects of tax reforms, including the Earned Income Tax Credit, and the wage-increasing effects of progressive income taxes in a high
The Impact of Labor Taxes on Labor Supply
Language: en
Pages: 113
Authors: Richard Donald Rogerson
Categories: Fiscal policy
Type: BOOK - Published: 2010 - Publisher: A E I Press

DOWNLOAD EBOOK

Labor Supply and Taxation
Language: en
Pages: 485
Authors: Richard Blundell
Categories: Business & Economics
Type: BOOK - Published: 2016 - Publisher: Oxford University Press

DOWNLOAD EBOOK

This volume presents Richard Blundell's outstanding research on the modern economic analysis of labour markets and public policy reforms, which has enhanced gre
Labor Supply and Taxation
Language: en
Pages: 488
Authors: Richard Blundell
Categories: Business & Economics
Type: BOOK - Published: 2016-03-18 - Publisher: Oxford University Press

DOWNLOAD EBOOK

This volume presents Richard Blundell's outstanding research on the modern economic analysis of labor markets and public policy reforms. Professor Blundell's hu