Union Strategy and Optimal Direct Taxation

IZA Logo

IZA Seminar

Place: Schaumburg-Lippe-Str. 9, 53113 Bonn

Date: 01.07.2004, 12:15 - 13:30


Presentation by 

Sebastian G. Kessing (University of Siegen)


Restrictions on work hours are more important in countries with a large welfare state. We show that this empirical observation is consistent with the strategic effects of such restrictions in a welfare state in the context of optimal direct taxation in the tradition of Mirrlees (1971). Our results also apply to non-welfarist states which have income redistribution, but not in purely extortionary states.

Download complete paper   
For more information, please contact seminar@iza.org