Same Tax Incidence, Opposite Wealth Responses (Online Appendix)

Résumé fourni par la source

Can current tax incidence identify how wealth concentration responds to a change in returns?In a two-type general-equilibrium benchmark, it cannot. We construct two smooth progressivetax systems that generate identical household tax liabilities, average tax rates, aggregate revenue,capital, factor prices, and stationary wealth concentration, yet imply opposite local wealth-shareresponses to the same small return shock. The distinction is between tax liabilities that supportthe stationary allocation and local marginal rates that govern shock transmission. A family ofliability-equivalent schedules shows that both response signs occur on open parameter sets.

Ce résumé expose les affirmations des auteurs. BNTIC ne l’interprète pas comme une validation indépendante des résultats.