Redistributive capital taxation revisited

0585329 - NHÚ 2025 RIV US eng J - Článek v odborném periodiku
Kina, Ö. - Slavík, Ctirad - Yazici, H.
Redistributive capital taxation revisited.
American Economic Journal: Macroeconomics. Roč. 16, č. 2 (2024), s. 182-216. ISSN 1945-7707. E-ISSN 1945-7715
Grant CEP: GA MŠMT(CZ) LX22NPO5101
Institucionální podpora: RVO:67985998
Klíčová slova: capital taxation * capital-skill complementarity * inequality
Obor OECD: Applied Economics, Econometrics
Impakt faktor: 6, rok: 2022
Způsob publikování: Omezený přístup
https://doi.org/10.1257/mac.20200395

This paper uses a rich quantitative model with endogenous skill acquisition to show that capital-skill complementarity provides a quantitatively significant rationale to tax capital for redistributive governments. The optimal capital income tax rate is 67 percent, while it is 61 percent in an identically calibrated model without capital-skill complementarity. The skill premium falls from 1.9 to 1.84 along the transition following the optimal reform in the capital-skill complementarity model, implying substantial indirect redistribution from skilled to unskilled workers. These results show that a redistributive government should take into account capital-skill complementarity when taxing capital.
Trvalý link: https://hdl.handle.net/11104/0353038