000 02339cam a22003257 4500
001 w9226
003 NBER
005 20211020113128.0
006 m o d
007 cr cnu||||||||
008 210910s2002 mau fo 000 0 eng d
100 1 _aGentry, William M.
_911252
245 1 4 _aThe Effects of Progressive Income Taxation on Job Turnover /
_cWilliam M. Gentry, R. Glenn Hubbard.
260 _aCambridge, Mass.
_bNational Bureau of Economic Research
_c2002.
300 _a1 online resource:
_billustrations (black and white);
490 1 _aNBER working paper series
_vno. w9226
500 _aSeptember 2002.
520 3 _aWe examine whether the level of the income tax rate and the convexity of the income tax schedule affect job mobility, as measured by moving to a better job. While the predicted effect of the level of the tax rate is ambiguous, we predict that an increase in the convexity of the tax schedule decreases job search activity by taxing away some of the benefits of a successful job search. Using data from the Panel Study of Income Dynamics, we estimate that both higher tax rates and increased tax rate progressivity decrease the probability that a head of household will move to a better job during the coming year. Our estimates imply that a five-percentage-point reduction in the marginal tax rate increases the average probability of moving to a better job by 0.79 percentage points (a 8.0 percent increase in the turnover propensity) and that a onestandard- deviation in our measure of tax progressivity would increase this probability by 0.86 percentage points (a 8.7 percent increase in the turnover propensity).
530 _aHardcopy version available to institutional subscribers
538 _aSystem requirements: Adobe [Acrobat] Reader required for PDF files.
538 _aMode of access: World Wide Web.
588 0 _aPrint version record
690 7 _aH3 - Fiscal Policies and Behavior of Economic Agents
_2Journal of Economic Literature class.
700 1 _aHubbard, R. Glenn.
_913147
710 2 _aNational Bureau of Economic Research.
830 0 _aWorking Paper Series (National Bureau of Economic Research)
_vno. w9226.
856 4 0 _uhttps://www.nber.org/papers/w9226
856 _yAcceso en lĂ­nea al DOI
_uhttp://dx.doi.org/10.3386/w9226
942 _2ddc
_cW-PAPER
999 _c338960
_d297522