Taxation, Saving and the Rate of Interest

摘要: This study presents new estimates of consumption functions based on aggregate U.S. time-series data. The results are striking: a variety functional forms, estimation methods, and definitions the real after-tax rate return invariably lead to conclusion substantial interest elasticity saving. implications this result for analysis efficiency equity current tax treatment income from capital explored. In reducing net return, significantly retards accumulation. in turn causes an enormous waste resources redistributes fraction gross labor capital. Rough loss welfare exceed 50 billion per year (a present value close 1 trillion!) redistribution one-seventh capital's share Income.It also suggests that usual calculations burdens by class substantially overestimate both ...