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The Welfare Cost of Capital Income Taxation

Martin Feldstein

Journal of Political Economy 1978

The paper begins with a critical examination of four mistaken propositions that characterize much of the conventional wisdom on capital income taxation. The analysis then shows the correct approach to evaluating the welfare cost of alternative tax treatments of capital income when taxes affect both the supply of labor and the timing of consumption.

DOI
10.1086/260693
Volume
86 (2, Part 2)
Pages
S29-S51
Language
en
Export
BibTeX
Sources
crossref openalex