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- W3123670558 abstract "The paper studies simple strategies of labor tax reform in a search and matching model of the labor market featuring endogenous labor supply. Changing the composition of the tax wedge---that is, reducing a payroll tax and increasing a progressive wage tax such that the marginal tax wedge remains unaffected---increases employment, reduces the equilibrium unemployment rate, and increases public revenue as long as workers do not have all the bargaining power in wage negotiations. A strategy of replacing employment taxes by payroll taxes increases employment and reduces the equilibrium unemployment rate, while the effect on public revenue is ambiguous." @default.
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- W3123670558 date "2004-01-01" @default.
- W3123670558 modified "2023-09-27" @default.
- W3123670558 title "Labor Tax Reform and Equilibrium Unemployment : A Search and Matching Approach" @default.
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