TY  - UNPD
A1  - Böhl, Gregor
A1  - Fischer, Thomas
T1  - Can taxation predict US top-wealth share dynamics?
T2  - Working paper series / Institute for Monetary and Financial Stability ; 118
N2  - The level of capital tax gains has high explanatory power regarding the question of what drives economic inequality. On this basis, the authors develop a simple, yet micro-founded portfolio selection model to explain the dynamics of wealth inequality given empirical tax series in the US. The results emphasize that the level and the transition of speed of wealth inequality depend crucially on the degree of capital taxation. The projections predict that – continuing on the present path of capital taxation in the US – the gap between rich and poor is expected to shrink whereas “massive” tax cuts will further increase the degree of wealth concentration.
T3  - Working paper series / Institute for Monetary and Financial Stability - 118 
KW  - wealth inequality
KW  - US top-wealth shares
KW  - capital taxation
KW  - Fokker-Planck equation
KW  - Kalman Filter
Y1  - 2017
UR  - http://publikationen.ub.uni-frankfurt.de/frontdoor/index/index/docId/47592
UR  - https://nbn-resolving.org/urn:nbn:de:hebis:30:3-475924
UR  - https://www.imfs-frankfurt.de/de/forschung/imfs-working-papers/
PB  - Johann Wolfgang Goethe-Univ., Inst. for Monetary and Financial Stability
CY  - Frankfurt am Main
ER  -