The dynamic causal effect of an intervention on an outcome is of paramount interest to
applied macro-and microeconomics research. However, this question has been generally …

We exploit staggered changes in state-level corporate tax rates to show that an increase in
taxes reduces future innovation. A variety of tests, including those based on policy …

Policymakers and researchers have long been interested in how potential changes to the
personal income tax system affect the size of the overall economy. In 2014, for example …

We show how a heterogeneous agent New Keynesian (HANK) model with incomplete
markets and portfolio choice can be estimated in state space using a Bayesian approach. To …

Over the last 50 years the US tax system went through a striking transformation that reduced
the effective tax rates for top income groups and raised transfers to seniors. This paper …

We use a cost-of-capital framework to analyze the long-run steady state and transition path
for GDP as a result of the 2017 tax law. We predict that, for the law as written, the long-run …

This paper investigates how tax changes for different income groups affect aggregate
economic activity. I construct a measure of who received (or paid for) tax changes in the …

The structure of taxes and their burden have undergone large and frequent changes over
time. We provide a brief history of US federal income tax reform since the 1960s, calculate …

We address the question in the title in a heterogeneous-agent incomplete-market model
featuring exogenous idiosyncratic risk, endogenous skill investment, and flexible labor …

The elasticity of taxable income is a key parameter in tax policy analysis. To examine the
large variation found in the literature of taxable and broad income elasticities, I conduct a …