Taxation, Human Capital, and Uncertainty

doi:10.1108/eb027739

Login

Welcome:
Guest

Search for:

Browse:

Resources:

Management Research News

ISSN: 0140-9174
Currently published as: Management Research Review

Online from: 1978

Subject Area: Accounting and Finance

Content: Latest Issue | Latest Issue RSS | Previous Issues

Options: To add Favourites and Table of Contents Alerts please take a Emerald profile

Taxation, Human Capital, and Uncertainty

Document Information:
Title:	Taxation, Human Capital, and Uncertainty
Author(s):	Jonathan Eaton, Harvey S. Rosen
Citation:	Jonathan Eaton, Harvey S. Rosen, (1979) "Taxation, Human Capital, and Uncertainty", Management Research News, Vol. 2 Iss: 4, pp.8 - 8
Article type:	General review
DOI:	10.1108/eb027739 (Permanent URL)
Publisher:	MCB UP Ltd
Abstract:	The growth of tax rates on earned income has focused attention upon the impact of such taxes on work effort. The effect of taxes on hours of work has been the subject of both careful theoretical and econometric study. The basic lesson of the theoretical literature is that the impact of taxation on hours of work is logically indeterminate because of the familiar conflict between income and substitution effects. Therefore, an enormous amount of econometric research has been done on this subject. Although there is a disconcertingly high variance in estimates of labour supply elasticities, it would probably be fair to say that the consensus is that the response in hours of work to changes in the net wage is very small for prime age male earners. This finding has been interpreted by some as evidence that taxes have little influence on work effort.

Backfiles Disclaimer

Articles that form part of the Emerald Backfiles have been created through digital scanning. Whilst all efforts have been made to ensure accuracy, Emerald will not be held responsible for any inaccuracies. If you require further clarification please contact backfiles@emeraldinsight.com.