期刊名称：Discussion Paper / Département des Sciences Économiques de l'Université Catholique de Louvain
印刷版ISSN：1379-244X
出版年度：2009
卷号：1
出版社：Université catholique de Louvain
摘要：The ELIE scheme of Kolm taxes labour capacities instead of labour income in
order to circumvent the distortionary effect of taxation on labour supply. Still,
Kolm does not study the impact of ELIE on human capital formation and investment.
In this paper, we build an overlapping generations (OLG) model with
heterogenous agents and endogenous growth driven by investment in human capital.
We study the effect of ELIE on education investment and other aggregate
economic variables. Calibrating the model to French data, we highlight a tradeoff
between growth and redistribution. With a perfect credit market, ELIE is
successful in reducing inequalities and poverty, but it is at the expense of lower investment
in education and slower growth. In an economy with an imperfect credit
market where individuals cannot borrow to educate, the tradeoff between growth
and redistribution is not overturned but is less severe. However, it is possible to
overturn completely that trade-off simply by changing the base of taxation for the
young generation which is equivalent to subsidising education.
