Jump to ContentJump to Main Navigation
Happiness QuantifiedA Satisfaction Calculus Approach$
Users without a subscription are not able to see the full content.

Bernard van Praag and Ada Ferrer-i-Carbonell

Print publication date: 2004

Print ISBN-13: 9780198286547

Published to Oxford Scholarship Online: January 2005

DOI: 10.1093/0198286546.001.0001

Show Summary Details
Page of

PRINTED FROM OXFORD SCHOLARSHIP ONLINE (www.oxfordscholarship.com). (c) Copyright Oxford University Press, 2019. All Rights Reserved. An individual user may print out a PDF of a single chapter of a monograph in OSO for personal use. date: 06 December 2019

Taxation and Well‐being

Taxation and Well‐being

Chapter:
(p.239) 12 Taxation and Well‐being
Source:
Happiness Quantified
Author(s):

Bernard Van Praag

Publisher:
Oxford University Press
DOI:10.1093/0198286546.003.0012

This chapter examines the feasibility of a lump-sum tax based ‘ability’, defined as a function of IQ and education. Empirical research on a Dutch database shows that shifting from income-based to an ability-based taxation would not have devastating effects on short-term net income positions. Although individuals with low IQs will have to pay extra taxes while those with the highest IQs mostly gain, this effect is restricted to a gain or loss of roughly just 10% of net monthly income. These small effects are attributed to the equitable tax rates in the Netherlands, and the limitation of the study to full-time employees.

Keywords:   lump-sum tax, ability, IQ, education, income tax, tax rates, Netherlands

Oxford Scholarship Online requires a subscription or purchase to access the full text of books within the service. Public users can however freely search the site and view the abstracts and keywords for each book and chapter.

Please, subscribe or login to access full text content.

If you think you should have access to this title, please contact your librarian.

To troubleshoot, please check our FAQs , and if you can't find the answer there, please contact us .