Tax Riots
(joint with Christopher Phelan)
Review of Economic Studies, 2008, vol. 75, n.3, pp.649-669.
The code for this project is written for Mathematica.
-
Main code, that reproduces the graphs of the numerical example in the paper: eqnsolver052807.nb
- Code for the degenerate case. While the previous file works fine
even for a degenerate case, this file contains computations for the
case in which the optimal ex ante plan is perturbed on a
small-probability event (to check the claim that, in an economy with
1,000,000 people changing what happens on a 1% probability event is
well more than needed to obtain that truth telling is strictly interim
dominant): degenerate2.nb
- Code that includes a computation of the maximin (it is slightly
less general than the main code, since it assumes full support; by
default, it is set to use a truncated normal distribution for f, but
this can be changed): eqnsolvernormal2.nb
- Code for computing mixed-strategy equilibria when resources seized from tax evaders can be redistributed: redistributing.nb
- Code for the case in which taxes on households that report low
income are constrained to be the same (assuming that they are not
discovered to be cheaters): taulowthesame.nb
- Code for a CRRA Mirrlees economy with a degenerate distribution f: mirrleesbothworkdegenerate.nb
- Code for a CRRA Mirrlees economy with uniform distribution f: mirrleesbothwork.nb
- Code for a CARA Mirrlees economy with degenerate distribution f: mirrleescarabothworkdegenerate.nb
- Code for a Green economy with a degenerate distribution f: green.nb