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The two bend points are set at, respectively, 0.18 and 1.10 times cross-sectional average gross earnings

Pre-tax benefits are equal to 90% of average past earnings up to a given bend point, 32% from this first bend point to a second bend point, 15% beyond that · 2010

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Estimating Individual Responses when Tomorrow Matters

econ.EM · 2023-10-13 · unverdicted · novelty 6.0

A new method estimates expectation-driven responses to policy changes via average partial effects on panel expectation data, with an application to Italian consumption showing beliefs affect tax policy impacts.

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  • Estimating Individual Responses when Tomorrow Matters econ.EM · 2023-10-13 · unverdicted · none · ref 5

    A new method estimates expectation-driven responses to policy changes via average partial effects on panel expectation data, with an application to Italian consumption showing beliefs affect tax policy impacts.