Weak differential monotonicity, flat tax, and basic income
- We suggest a weak version of differential monotonicity for redistribution rules: whenever the differential of two persons’ income weakly increases, then their post-redistribution rewards essentially change in the same direction. Together with efficiency, non-negativity, and the null society property, weak differential monotonicity essentially characterizes redistribution via taxation at a fixed rate and equal distribution of the total tax revenue, i.e., a flat tax and a basic income.
| Document Type: | Working Paper |
|---|---|
| Language: | English |
| Author: | André CasajusORCiD |
| Chairs and Professorships: | Chair of Economics and Information Systems |
| Year of Completion: | 2016 |
| Note: | HHL Working Paper 157. Leipzig: HHL Leipzig Graduate School of Management, 2016 |