Single-crossing conditions in comparisons of tax progressivity

Statements to the effect that one tax is more progressive than another are frequently made, but seldom explained. Starting from a criterion of Lorenz domination, this paper shows how an intuitively appealing single-crossing condition on appropriately normalized tax schedules may be used in progressi...

Full description

Saved in:
Bibliographic Details
Published in:Journal of public economics 1983-04, Vol.20 (3), p.373-380
Main Authors: Hemming, R., Keen, M.J.
Format: Article
Language:English
Subjects:
Economic models
Economic theory
Income distribution
Progressive taxes
Schedules
Taxes
Citations: Items that this one cites
Items that cite this one
Online Access:Get full text
Tags: Add Tag
No Tags, Be the first to tag this record!
Description
Summary:Statements to the effect that one tax is more progressive than another are frequently made, but seldom explained. Starting from a criterion of Lorenz domination, this paper shows how an intuitively appealing single-crossing condition on appropriately normalized tax schedules may be used in progressivity comparisons. This condition is closely related to, and illuminates, the necessary and sufficient condition derived by Jakobsson (1976) for the distributional implications of alternative taxes to be inferred from their schedules alone.
ISSN:0047-2727
1879-2316
DOI:10.1016/0047-2727(83)90032-4