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| Tekijä: | Luttens, R.I. Ooghe, E. |
| Otsikko: | Is it fair to 'make work pay'? |
| Lehti: | Economica
2007 : VOL. 74:296, p. 599-626 |
| Asiasana: | employment labour law work rights issues taxation models |
| Vapaa asiasana: | Pareto analysis social ethics |
| Kieli: | eng |
| Tiivistelmä: | A new fair allocation, named as a 'Pareto-efficient and Shared Resources Equivalent' allocation compensating for different productive skills, but not for different tastes for working. The optimal 2nd-best allocation in a discrete Stiglitz economy is illustrated. It is questioned whether there should be regressive or progressive taxes for low earners which crucially depends on whether the low-skilled have a strictly positive or zero skill. The simulation results suggest that "making work pay" policies can be optimal according to the fairness criterion etc. |
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