Optimal skill distribution under convex skill costs

This paper studies optimal distribution of skills in an optimal income tax framework with convex skill constraints. The problem is cast as a social planning problem where a redistributive planner chooses how to distribute a given amount of aggregate skills across people. We find that optimal skill d...

Full description

Bibliographic Details
Main Authors:	Tin Cheuk Leung, Hakki Yazici
Format:	Article
Language:	English
Published:	Elsevier 2018-03-01
Series:	Central Bank Review
Subjects:	Skill distribution Convex skill costs Optimal taxation
Online Access:	http://www.sciencedirect.com/science/article/pii/S1303070117300768

id	doaj-0643fbee9ef8482b9eaaf885f76020e3
record_format	Article
spelling	doaj-0643fbee9ef8482b9eaaf885f76020e32020-11-24T21:57:47ZengElsevierCentral Bank Review1303-07012018-03-01181293410.1016/j.cbrev.2017.11.003Optimal skill distribution under convex skill costsTin Cheuk Leung0Hakki Yazici1Department of Economics, Kirby Hall, Wake Forest University, Box 7505, Winston - Salem NC 27109, USAFaculty of Arts and Social Sciences, Office 2093, Orhanli, Tuzla, 34956 Istanbul, TurkeyThis paper studies optimal distribution of skills in an optimal income tax framework with convex skill constraints. The problem is cast as a social planning problem where a redistributive planner chooses how to distribute a given amount of aggregate skills across people. We find that optimal skill distribution is either perfectly equal or perfectly unequal, but an interior level of skill inequality is never optimal.http://www.sciencedirect.com/science/article/pii/S1303070117300768Skill distributionConvex skill costsOptimal taxation
collection	DOAJ
language	English
format	Article
sources	DOAJ
author	Tin Cheuk Leung Hakki Yazici
spellingShingle	Tin Cheuk Leung Hakki Yazici Optimal skill distribution under convex skill costs Central Bank Review Skill distribution Convex skill costs Optimal taxation
author_facet	Tin Cheuk Leung Hakki Yazici
author_sort	Tin Cheuk Leung
title	Optimal skill distribution under convex skill costs
title_short	Optimal skill distribution under convex skill costs
title_full	Optimal skill distribution under convex skill costs
title_fullStr	Optimal skill distribution under convex skill costs
title_full_unstemmed	Optimal skill distribution under convex skill costs
title_sort	optimal skill distribution under convex skill costs
publisher	Elsevier
series	Central Bank Review
issn	1303-0701
publishDate	2018-03-01
description	This paper studies optimal distribution of skills in an optimal income tax framework with convex skill constraints. The problem is cast as a social planning problem where a redistributive planner chooses how to distribute a given amount of aggregate skills across people. We find that optimal skill distribution is either perfectly equal or perfectly unequal, but an interior level of skill inequality is never optimal.
topic	Skill distribution Convex skill costs Optimal taxation
url	http://www.sciencedirect.com/science/article/pii/S1303070117300768
work_keys_str_mv	AT tincheukleung optimalskilldistributionunderconvexskillcosts AT hakkiyazici optimalskilldistributionunderconvexskillcosts
_version_	1725853557318483968

Optimal skill distribution under convex skill costs

Similar Items