Abstract This paper studies how the rates of deduction for early retirement have to be determined in pay-as-you-go (PAYG) systems order keep their budget stable. The derivation these deductions requires use a multiperiod intertemporal constraint that involves assumptions about behavior past, present, and future cohorts. In general, it is not possible calculate budget-neutral from single individ...

This paper studies households making joint decisions about two tax-deductible activities: charitable giving and paying interest on home equity lines of credit (HELOC). By allowing for interactions, either substitutability or complementarity, between deductions, I provide a fuller understanding of the elasticity of taxable income (ETI) and the tax-price elasticity of charitable giving. The tax-p...

We evaluate the effect of a 2003 reform in the Spanish income tax on fertility and the employment of mothers with small children. The reform introduced a tax credit for working mothers with children under the age of three, while also increasing child deductions for all households with children. Theoretically, given the interplay of these two components, the expected effect of the reform is ambi...

In automated deduction systems that are intended for human use, the presentation of a proof is no less important than its discovery. For most of today’s automated theorem proving systems, this requires a non-trivial translation procedure to extract human-oriented deductions from machine-oriented proofs. Previously known translation procedures, though complete, tend to produce unintuitive deduct...

a r t i c l e i n f o Keywords: Income tax deductions for losses Private insurance Optimal income tax Kaplow (1992) shows that allowing income tax deductions for losses as partial insurance is undesirable in the presence of private insurance markets. This paper revisits the issue by considering a model that integrates Kaplow (1992) with Stiglitz (1982). We address the following question: Whethe...

Deductive reasoning shares with other forms of thinking a reliance on strategies, as shown by the results of three experiments on the nature and development of control strategies to solve suppositional deductions. These puzzles are based on assertors who may or may not be telling the truth, and their assertions about their status as truthtellers and liars. The first experiment shows that reason...