Tax reforms and top incomes

Publication type

Media

Authors

Publication date

April 13, 2017

Summary:

The link between tax progressivity and the income distribution is the subject of intense debate. This column presents new evidence from tax reforms during the 1980s and 1990s to examine how reduced progressivity affects top income shares. Reduced progressivity boosted top incomes, particularly for those in the top 0.1% of earners. Income tax changes are therefore a plausible candidate for explaining the recent surge in income inequality.

Source

Voxeu.org

Link

https://voxeu.org/article/tax-reforms-and-top-incomes

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