Please use this identifier to cite or link to this item:
Full metadata record
|dc.identifier.citation||INTERNATIONAL TAX AND PUBLIC FINANCE vol. 26 no. 5 p. 1211-1229||en_GB|
|dc.description.abstract||We study a market with entrepreneurial and workers entry where both entrepreneurs' abilities and workers' qualities are private information. We develop an Agent-Based Computable model to mimic the mechanisms described in a previous analytical model (Boadway and Sato 2011). Then, we introduce the possibility that agents may learn over time about abilities and qualities of other agents, by means of Bayesian inference over informative signals. We show how such different set of assumptions affects the optimality of second-best tax and subsidy policies. While with no information it is optimal to have a subsidy to labour and a simultaneous tax on entrepreneurs to curb excessive entry, with learning the detrimental effects of excessive entry are partly compensated by surplus-increasing faster learning.||en_GB|
|dc.description.sponsorship||JRC.B.2-Fiscal Policy Analysis||en_GB|
|dc.title||Tax policy and entrepreneurial entry with information asymmetry and learning||en_GB|
|dc.type||Articles in periodicals and books||en_GB|
|JRC Directorate:||Growth and Innovation|
Files in This Item:
There are no files associated with this item.
Items in repository are protected by copyright, with all rights reserved, unless otherwise indicated.