Recent years have seen a surge of applied work using bunching approaches, a
development that is closely linked to the increased availability of administrative data. These …

This chapter reviews the recent developments in the bunching literature, both when
bunching appears in the outcome variable and when it appears in the treatment variable …

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 …

Several recent studies show that the elasticity of taxable income (ETI) is not a sufficient
statistic for the welfare costs of taxation due to factors such as tax-base shifting. This paper …

How should developing countries tax corporate income? We study this question in Costa
Rica, where firms face higher average tax rates on profits when revenues marginally …

The elasticity of taxable income is vital when predicting the effect of taxes. Bunching at
kinks/notches has been used to estimate this elasticity. We show that when the preference …

Business income constitutes a large and increasing share of income and wealth at the top of
the distribution. We discuss how tax policy treats and shapes how businesses are organized …

Using proprietary data on the entire spectrum of ownership structure and exact tax status of
investors and firms, we examine how dividend taxation affects payout. Utilizing an …

How should developing countries tax corporate income? This paper studies this question in
Costa Rica, where firms face discontinuously higher average tax rates on profits when their …

Although the reservation wage plays a central role in job search models, empirical evidence
on the determinants of reservation wages, including key policy variables such as …