Intergenerational disagreement and optimal taxation of parental transfersPavoni, Nicola and Yazıcı, Hakkı (2017) Intergenerational disagreement and optimal taxation of parental transfers. Review of Economic Studies, 84 (3). pp. 1264-1305. ISSN 0034-6527 (Print) 1467-937X (Online) This is the latest version of this item. Full text not available from this repository. Official URL: http://dx.doi.org/10.1093/restud/rdw036 AbstractWe study optimal taxation of bequests and inter vivos transfers in a model where altruistic parents and their offspring disagree on intertemporal trade-offs. We show that the laissez-faire equilibrium is Pareto inefficient, and whenever offspring are impatient from their parents' perspective, optimal policy involves a positive tax on parental transfers. Cautioned by the technical complications present in this class of models, our normative prescriptions do not rely on the assumption of differentiability of the agents' policy functions.
Available Versions of this Item
Repository Staff Only: item control page |