Please use this identifier to cite or link to this item: http://hdl.handle.net/10419/95475
Authors: 
Jäntti, Markus
Pirttilä, Jukka
Selin, Håkan
Year of Publication: 
2013
Series/Report no.: 
LIS Working Paper Series 583
Abstract: 
We utilise repeated cross sections of micro data from several countries, available from the Luxembourg Income Study, LIS, to estimate labour supply elasticities, both at the intensive and extensive margin. The benefit of the data is that it spans over four decades and includes a large number of tax reform episodes, with tax rate variation arising both from cross-sectional and country-level differences. Using these data, we investigate whether micro and macro estimates differ in a systematic way. The results do not provide clear support to the view that elasticities at the macro level would be higher than corresponding micro elasticities.
Subjects: 
labour supply
earnings
taxation
cross-country comparisons
JEL: 
E24
H21
J22
Document Type: 
Working Paper
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