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UID:8c214d9ff4610d55b8db0593377e83d7
CATEGORIES:Seminars
CREATED:20240229T115847
SUMMARY:Antoine Ferey - Sciences Po
DESCRIPTION;ENCODING=QUOTED-PRINTABLE:<p><em><strong>Redistribution and Unemployment Insurance</strong> </em></p>
 <p>Abstract:</p><p style="text-align: justify;">This paper analyzes the int
 eractions between redistribution and unemployment insurance policies and th
 eir implications for the optimal design of tax-benefit systems. In a settin
 g where individuals with different earnings abilities are exposed to unempl
 oyment risk on the labor market, I characterize the optimal income tax sche
 dule and the optimal unemployment benefit schedule in terms of empirically 
 estimable sufficient statistics. I provide a Pareto-efficiency condition fo
 r tax-benefit systems that implies a tight link between optimal redistribut
 ion and optimal unemployment insurance: the steeper the profile of income t
 axes is, the flatter the profile of unemployment benefits should be, and vi
 ce versa. Optimal replacement rates are therefore monotonically decreasing 
 with earnings, from 1 at the bottom of the earnings distribution to 0 at th
 e top, and redistribution through unemployment benefits is efficient. Empir
 ical applications show that these interactions between redistribution and u
 nemployment insurance have important quantitative implications.&nbsp;</p>
DTSTAMP:20260426T045027Z
DTSTART:20240415T143000Z
DTEND:20240415T160000Z
SEQUENCE:0
TRANSP:OPAQUE
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