The Taxation of Superstars

How are optimal taxes affected by superstar phenomena? To answer this question, we extend the Mirrlees model to incorporate an assignment problem in the labor market that generates superstar effects. Perhaps surprisingly, rather than providing a rationale for higher taxes, we show that superstar eff...

Full description

Bibliographic Details
Main Authors: Scheuer, Florian (Author), Werning, Ivan (Contributor)
Other Authors: Massachusetts Institute of Technology. Department of Economics (Contributor)
Format: Article
Language:English
Published: Oxford University Press, 2018-03-15T22:55:14Z.
Subjects:
Online Access:Get fulltext