Showing papers in "Journal of Public Economics in 1996"

TL;DR: In this paper, the authors tried to test the hypothesis that utility depends on income relative to a "comparison" or reference level using data on 5,000 British workers and found that workers' reported satisfaction levels are inversely related to their comparison wage rates.

TL;DR: In this paper, the authors explored the relationship between site choice and environmental regulations using a broad range of industries and measures of stringency and found that state environmental regulations do not systematically affect the location choices of most manufacturing plants.

TL;DR: In this article, the authors identify two cases when majority voting equilibrium always exists and the median-income voter is pivotal, and a necessary condition for equilibrium indentifies the pivotal voter who must have income below the median.

TL;DR: In this article, a number of sufficient conditions for the existence of a majority voting equilibrium on one-dimensional choice domains are clarified and extended, which imply or be equivalent to a general, ordinal version of the single-crossing condition.

TL;DR: This article used firm-level panel data to explore the extent to which fixed investment responds to tax reforms in 14 OECD countries and found evidence of statistically and economically significant investment responses to tax changes in 12 of the 14 countries.

TL;DR: In this paper, the authors show that a carbon tax should not be differentiated across sectors in the economy, provided one can use import and export tariffs on all traded goods, and that such a differentiation of carbon taxes is optimal for the cooperating countries if they are prevented from using tariffs on the traded goods.

TL;DR: In this paper, absenteeism is modelled as an individual day-to-day decision, using a linear demand function, frequently used in labour supply studies, and the parameters in the econometric model are consistently estimated, using the (timeaggregated) number of days absent in 1981 as the dependent variable for a sample of Swedish blue-collar workers (both men and women), under some assumptions on unobserved heterogeneity and serial correlation.

TL;DR: In this article, a semi-parametric competing risks model for transitions to employment, labor market programs and non-participation is estimated, and there is some evidence that the exit rate from unemployment to employment increases as benefit exhaustion is approached.

TL;DR: In this paper, the authors employ an endogenous growth model to analyze the role of a consumption tax in enhancing growth and welfare, and show that two fiscal instruments are necessary to replicate the first best optimum.

TL;DR: In this article, the authors report the results of a public goods experiment using a design that enables them to directly measure individual response functions in voluntary contributions games and estimate error rates, and they employ two treatments in order to measure the extent to which voluntary contribution is due to reputation effects.

TL;DR: In this article, the irreversibility effect in stock externalities is discussed and the tension between risk aversion and irreversability effect is analyzed in an environment of uncertainty with learning taking place, where one may wish to under-emit today to avoid potential environmental irreversibilities.

TL;DR: In this paper, the authors used a newly developed econometric general equilibrium model for the European Union as well as for each member country and presented simulation results up to the year 2010 of the effects of a European carbon tax the revenues from which are recycled to reduce employers' social security contributions.

TL;DR: This paper reviewed the literature on the design of tax policy in federalist economies and concluded that taxation by lower level governments can lead to significant economic inefficiencies and inequities, and that additional federalist institutions must be considered Alternative legislative structures and constitutional rules are considered.

TL;DR: In this article, the authors present empirical evidence on individual income tax competition in Switzerland and show that tax competition has some influence on the spread of people with high income over the cantons, and it is partly capitalised in dwelling rents.

TL;DR: In this article, the authors characterize the social optimum and show that it can be implemented by issuing options to pollute, inter alia, and compare ex ante and ex post government procurement, showing that ex post licensing by the innovator to the government may yield a higher licensing fee than an ex ante contract.

TL;DR: In this paper, the authors demonstrate the importance of incorporating household production in models of labour supply to avoid misleading results concerning the intra-family distribution of income and behavioural responses to economic policy.

TL;DR: The authors characterizes the equilibrium of an insurance market where opportunist policyholders may file fraudulent claims and shows that a no commitment equilibrium results in a welfare loss for honest individuals, which may even be so large that the insurance market completely shuts down.

TL;DR: The authors derived a general analytic formula for the marginal welfare cost (MWC) of public funds without imposing restrictive assumptions on preferences or technologies, and reconciled the disparities among the reported estimates of MWC.

TL;DR: In this paper, a simple model of the taxi industry suggests that deregulation of fares and entry may not be optimal, and that the conditions of competition do not hold in the industry, even approximately.

TL;DR: In this paper, the authors model international competition for foreign direct investment as a common agency problem using the theory of menu auctions developed by Bernheim and Whinston, and show that in the equilibrium of this game, a high wage country may be able to attract investment even though all countries use subsidies.

TL;DR: The authors analyzes the impact of spot and futures markets for tradeable pollution permits on the potential polluters' compliance decisions, and shows that stand-alone spot markets induce excessive investment, but is not the optimal way to control pollution.

TL;DR: In this paper, a multinational parent sells a non-marketed commodity to a foreign subsidiary that uses the product as an input to produce a product it then sells, and the subsidiary is controlled by a local managing partner whose compensation consists of a lump-sum payment plus a share of the subsidiary's profit.

TL;DR: In this paper, a simple dynamic model is used to show how in the face of resource and environmental stock externalities the static market-based policy instruments such as Pigouvian taxes should be modified, and it is shown that the optimal control policy is particularly sensitive to changes in the marginal abatement cost and the level of fossil fuel demand.

TL;DR: In this paper, the authors evaluate the contribution of R&D tax incentives and publicly-financed investment policies in promoting the growth of output and privately-funded research investment in US manufacturing industries.

TL;DR: In this paper, the authors proposed an incentive scheme for the private provision of public goods, where the government should reward and penalize deviations from the mean contribution by an appropriate factor, which makes efficient contribution individually rational even if individuals see through the government budget constraint.

TL;DR: In this article, the authors investigated the effects of bequest taxes and the income of children on the lifetime charitable contributions of parents and found that when children are better off, parents are likely to increase charitable giving.

TL;DR: This paper showed that donor confusion over the Nash concept and coordination problems explain at most a small portion of the ‘excessive' giving observed in those previous experiments that use an interior Nash design.

TL;DR: In this article, the implications of more environmental concern for the optimal provision of public goods, tax structure, and involuntary unemployment are derived within a second-best framework in which lump-sum taxes are not available and labour supply is rationed owing to a rigid consumer wage.

TL;DR: In this article, a simple dynamic representative agent model is presented in which the environment enters into the utility and production functions to analyze long-run economic growth under optimal policy designs, and the policies that are considered are production taxes or subsidies and quantitative restrictions.

TL;DR: In this article, a new economic interpretation of the well-known dynamic optimal taxation principle that capital income should not be taxed in the steady state is provided. But when there are restrictions on the taxation of production factors, the tax rate on capital income in the stable state is different from zero.