DOCSLIB.ORG

Taxation and Innovation

Total Page：16

File Type：pdf, Size：1020Kb

Download full-text PDF Read full-text
Taxation and Innovation A Service of Leibniz-Informationszentrum econstor Wirtschaft Leibniz Information Centre Make Your Publications Visible. zbw for Economics Akcigit, Ufuk; Stantcheva, Stefanie Article Taxation and innovation NBER Reporter Provided in Cooperation with: National Bureau of Economic Research (NBER), Cambridge, Mass. Suggested Citation: Akcigit, Ufuk; Stantcheva, Stefanie (2018) : Taxation and innovation, NBER Reporter, National Bureau of Economic Research (NBER), Cambridge, MA, Iss. 3, pp. 14-18 This Version is available at: http://hdl.handle.net/10419/219421 Standard-Nutzungsbedingungen: Terms of use: Die Dokumente auf EconStor dürfen zu eigenen wissenschaftlichen Documents in EconStor may be saved and copied for your Zwecken und zum Privatgebrauch gespeichert und kopiert werden. personal and scholarly purposes. Sie dürfen die Dokumente nicht für öffentliche oder kommerzielle You are not to copy documents for public or commercial Zwecke vervielfältigen, öffentlich ausstellen, öffentlich zugänglich purposes, to exhibit the documents publicly, to make them machen, vertreiben oder anderweitig nutzen. publicly available on the internet, or to distribute or otherwise use the documents in public. Sofern die Verfasser die Dokumente unter Open-Content-Lizenzen (insbesondere CC-Lizenzen) zur Verfügung gestellt haben sollten, If the documents have been made available under an Open gelten abweichend von diesen Nutzungsbedingungen die in der dort Content Licence (especially Creative Commons Licences), you genannten Lizenz gewährten Nutzungsrechte. may exercise further usage rights as specified in the indicated licence. www.econstor.eu Taxation and Innovation Ufuk Akcigit and Stefanie Stantcheva Innovation is the source of tech- financial incentives and only strive for nological progress and, ultimately, intellectual achievement. the main driver of long-run eco- Related questions are whether nomic growth. In recent work with taxes impact the quality of innova- several co-authors, we have shown tion, where inventors decide to locate, Ufuk Akcigit is an associate pro- that the U.S. states that produced the and what firms they work for. In addi- fessor of economics with tenure at the most innovations also grew fastest tion, there is a question of whether University of Chicago and a research over the 100-year period from 1900 taxes influence where companies allo- associate at the NBER, where he is affil- to 2000.1 We also have documented cate R&D resources and how many iated with the Productivity, Innovation, that innovation is strongly associated researchers they employ. and Entrepreneurship program. He with social mobility. U.S. regions that Answers to these questions are also is affiliated with the Centre for experienced more innovation also still lacking, and there is a scarcity of Economic Policy Research. witnessed much stronger intergenera- empirical evidence. The gap in our Akcigit’s research focuses on eco- tional and social mobility, especially understanding is especially large when nomic growth, productivity, firm dynam- when innovations were attributable it comes to the effects of tax policy on ics, and the economics of innovation. His to new entrant firms. Innovation also technological development over the work aims to uncover the sources of tech- correlates strongly with top income long run. nological progress and innovation that inequality, but not so much with mea- serve as engines of long-run economic sures of inequality such as the Gini or Theory and Empirics of growth. He is also interested in the role the 90/10 ratio, and is associated with Taxation and Innovation of public policy in growth, with a focus greater well-being across the United on environmental regulations, public States.2,3 There are two complementary research and funding for universities, and Given all the important conse- dimensions along which to think industrial policies such as R&D tax cred- quences of innovation, it is essen- about the interplay between taxation its and corporate taxation. tial to understand how public poli- and innovation. First, taxation on per- Some of his current papers explore cies impact innovation in the United sonal or corporate income or wealth the impact of trade and foreign compe- States and across the world. Our joint may affect innovation. This may be tition on innovation, the role of politi- research agenda explores the interplay an unwelcome byproduct of taxes cal connections in reducing innovation, between taxation and innovation. that are set for completely unrelated and the social origins and family back- Major changes in U.S. tax policy, goals, such as to raise revenues. Thus, grounds of inventors. such as those in the Tax Cuts and Jobs reduced innovation could be one of His research has been published Act of 2017, raise questions about the efficiency costs of taxation; this in leading economics journals and has whether higher taxes stifle growth, could affect the assessment of optimal been supported by the Ewing Marion productivity, and innovation. taxes, since the elasticity of innova- Kauffman Foundation, the Alfred P. If innovation, like many other eco- tion with respect to taxes would influ- Sloan Foundation, and the National nomic outcomes, is the result of inten- ence the elasticities that enter into the Science Foundation. He is the recipi- tional effort and investment, then optimal tax formulas.4,5 This under- ent of a CAREER Award from the higher taxes will reduce the expected scores the importance of quantifying National Science Foundation. net return to these inputs and lead to the elasticity of innovation to taxa- Akcigit holds a BA in economics less innovation. Yet for at least some tion along all the relevant margins. from Koç University in Istanbul and path-breaking superstar inventors Second, tax policy could be designed a PhD in economics from MIT. Prior from history, such as Thomas Edison, intentionally so as not to hurt, or even to joining the University of Chicago Alexander Graham Bell, and Nikola to stimulate, innovation. in 2015, he was an assistant profes- Tesla, the picture that comes to mind Our research agenda on taxa- sor of economics at the University of is one of hard-working, enthusiastic tion and innovation seeks to under- Pennsylvania. scientists who are unconcerned with stand and quantify the effects of 14 NBER Reporter • No. 3, September 2018 taxation — of personal income, cor- the quantity of innovation, as cap- porate income, and wealth — on tured by the number of patents; the innovation by firms and individu- quality of innovation, as measured als. How do taxes shape all these by patent citations, and the share of agents’ choices leading up to innova- patents assigned to companies rather tions? Our empirical studies are based than individuals at both the state on modern-day data — European pat- level and individual-inventor level. ent office data since 1975, for exam- We also consider the location choices ple — and on long-run historical data, of firms and inventors, including such as the universe of U.S. inven- superstar inventors, as well as the cre- tors since 1836. Theoretically and ation of path-breaking, highly cited quantitatively, we study the design inventions. of decentralized innovation policies: We employ several identification combinations of taxes, tax credits, and strategies, and find consistent results Stefanie Stantcheva is a professor subsidies that can make agents inter- across the different approaches. First, of economics at Harvard University nalize the spillovers from innovations we control for state, year, and, at the and a research associate at the NBER, and foster innovation. We illustrate individual level, inventor-fixed effects, where she is affiliated with the Public our research approach by focusing on and include individual or state-level Economics and Political Economy pro- three distinct studies. time-varying controls in our specifi- grams. She is a research fellow at the cation. These go a long way toward Centre for Economic Policy Research. Taxation and Innovation absorbing unobserved heterogeneity. Stantcheva’s research focuses on the in the 20th Century In addition, we exploit tax schedule optimal design of tax systems and pub- differences across individuals within lic policies, taking into account labor Although the United States expe- a given state-year, due to tax progres- market features, complex social pref- rienced major changes in its tax code sivity, and compare individuals in dif- erences, and long-term effects such as throughout the 20th century, we cur- ferent tax brackets. Thus, we can also human capital acquisition and innova- rently do not know how these tax include state-times-year fixed effects tion by individuals and firms. Part of changes influenced innovation at to filter out other policy variations her work is centered around the study either the individual or corporate or confounding economic circum- of empirical effects of taxation of indi- level. This challenging question has stances. Second, at both the macro viduals and firms, on inequality, top largely gone unanswered because of and micro levels, we use an instru- incomes, migration, human capital, and a lack of long-run systematic data on mental variable strategy that consists innovation. innovation in the United States and of predicting the total tax burden fac- In recent work, she is exploring the the difficulty of identifying the effects ing a firm or inventor — a composite interplay between taxation and innova- of taxes. We leverage three new data- of state and federal taxes — with the tion using historical as well as modern- sets, which we constructed from his- changes in the federal tax rate only, day data and the optimal design of R&D torical data sources, to explore these holding the state taxes fixed at some policies. She is also studying how people issues.6 The datasets are a panel of the past level. This provides variation that form social preferences regarding redis- universe of U.S. inventors since 1920 is only driven by federal-level changes tribution, using large-scale online sur- and their associated patents, citations, and, thus, exogenous to any individual vey and experiment tools.
Load more

Recommended publications
  • Stefanie Stantcheva
    Stefanie Stantcheva November 2017 Department of Economics Tel: 617-496-2614 Harvard University email: [email protected] Littauer Center 232 web: http://scholar.harvard.edu/stantcheva Cambridge, MA 02138 Employment Harvard University, Associate Professor of Economics 07/2017- Harvard University, Assistant Professor of Economics 07/2016-06/2017 Harvard Society of Fellows, Junior Fellow 07/2014-06/2016 Education Ph.D., Economics, Massachusetts Institute of Technology 2014 M.S., Economics, ENSAE and Paris School of Economics (Master APE) 2009 M.S., Economics and Finance, Ecole Polytechnique 2008 B.A., Economics, University of Cambridge 2007 Professional Activities Foreign Editor Review of Economic Studies 2017- Associate Editor Journal of Political Economy 2017- Faculty Research Fellow, National Bureau of Economic Research 2014 - Fellowships, Honors and Awards NSF CAREER Award 2017-2022 Furer Fellow, Harvard University 2017-2020 Excellence in Refereeing Award, American Economic Review 2016 Junior Fellow, Harvard Society of Fellows. 2014-2016 Review of Economic Studies Tour. 2014 Bradley Foundation Fellowship in Public Finance. 2010-2014 James Berkovec Memorial Fund Scholarship, MIT. 2009 Ida Green Institute Fellowship, MIT. 2009 Prize for the Best Master Dissertation, Chair of Business Economics, Ecole Polytechnique. 2008 Scholarship for Academic Excellence, Ecole Polytechnique. 2007-2008 Gladstone Memorial Prize for Best Undergraduate Dissertation, University of Cambridge 2007 Adam Smith Prize for Best Undergraduate Dissertation in Economics. 2007 Adam Smith Prize for Best Undergraduate Student in Economics. 2007 Scholar, Gonville and Caius College, University of Cambridge. 2004-2007 Bursary for Academic Excellence, Cambridge European Trust. 2004 1 Publications Stantcheva, Stefanie. 2014. “Optimal Income Taxation with Adverse Selection in the Labor Market.” Review of Economic Studies, 81, 1296-1329.
    [Show full text]
  • Online Appendix for “Taxation and the International Mobility of Inventors”
    Online Appendix for “Taxation and the International Mobility of Inventors” Ufuk Akcigit, University of Chicago and NBER Salomé Baslandze, EIEF Stefanie Stantcheva, Harvard and NBER May 2016 A Data Construction A.1 USPTO data We construct the benchmark micro-level dataset using the following data sources. The Disam- biguated Inventor Data is available from Harvard Dataverse Network1. Other details on patents come from the NBER patent data2. International data on top marginal income taxes comes from Piketty, Saez, and Stantcheva (2014).3 Raw data can be downloaded from the indicated sources or received from the authors. We provide online and on the Journal’s website a more comprehensive dataset at the inventor-year level with additional constructed variables, listed below, and clearly labeled. The forward citations for each patent are the truncation-adjusted citations, where truncation adjustment is defined in Hall, Jaffe, and Trajtenberg (2001). For each of the quality measures defined in SectionC, we define a reference distribution for each year and for each of the three regions (i) Europe and Canada, ii) United States, iii) Japan). We then rank inventors according to their percentile in that year. We take as our benchmark sample those inventors who have ever been in the top 25% in any year of their life in the data. Note however that the quality measure used to define top 1%, top 1-5%, etc. and used in levels in the regressions is a dynamic 1invpat.zip file from https://thedata.harvard.edu/dvn/dv/patent/faces/study/StudyPage.xhtml? globalId=hdl:1902.1/15705&studyListingIndex=1_cb493c4a38c48c6b3b3b31b31a44 2pat76_06_assg.dta and assignee.dta from https://sites.google.com/site/patentdataproject/Home/ downloads 3Available for download here: http://scholar.harvard.edu/stantcheva/publications/ optimal-taxation-top-incomes-tale-three-elasticities.
    [Show full text]
  • Stefanie Stantcheva
    Stefanie Stantcheva May 2018 Department of Economics Tel : 617-496-2614 Harvard University email : [email protected] Littauer Center 232 web : http://scholar.harvard.edu/stantcheva Cambridge, MA 02138 Employment Harvard University, Professor of Economics 05/2018 - Harvard University, Associate Professor of Economics 07/2017- 04/2018 Harvard University, Assistant Professor of Economics 07/2016-06/2017 Harvard Society of Fellows, Junior Fellow 07/2014-06/2016 Education Ph.D., Economics, Massachusetts Institute of Technology 2014 M.S., Economics, ENSAE and Paris School of Economics (Master APE) 2009 M.S., Economics and Finance, Ecole Polytechnique 2008 B.A., Economics, University of Cambridge 2007 Professional Activities Member of the Economic Council of the French Prime Minister 06/2018 - Faculty Research Fellow, Center for Economic Policy Research 06/2018 - Foreign Editor Review of Economic Studies 10/2017- Associate Editor Journal of Political Economy 05/2017- Faculty Research Fellow, National Bureau of Economic Research 06/2014 - Fellowships, Honors and Awards 2018 Sloan Research Fellow 2018-2020 NSF CAREER Award 2017-2022 Furer Fellow, Harvard University 2017-2020 Excellence in Refereeing Award, American Economic Review 2016, 2017 Junior Fellow, Harvard Society of Fellows. 2014-2016 Review of Economic Studies Tour. 2014 Bradley Foundation Fellowship in Public Finance. 2010-2014 James Berkovec Memorial Fund Scholarship, MIT. 2009 Ida Green Institute Fellowship, MIT. 2009 1 Prize for the Best Master Dissertation, Chair of Business Economics, Ecole Polytechnique. 2008 Scholarship for Academic Excellence, Ecole Polytechnique. 2007-2008 Gladstone Memorial Prize for Best Undergraduate Dissertation, University of Cambridge 2007 Adam Smith Prize for Best Undergraduate Dissertation in Economics.
    [Show full text]
  • Optimal Taxation of Top Labor Incomes: a Tale of Three Elasticities†
    American Economic Journal: Economic Policy 2014, 6(1): 230–271 http://dx.doi.org/10.1257/pol.6.1.230 Optimal Taxation of Top Labor Incomes: A Tale of Three Elasticities† By Thomas Piketty, Emmanuel Saez, and Stefanie Stantcheva* This paper derives optimal top tax rate formulas in a model where top earners respond to taxes through three channels: labor supply, tax avoidance, and compensation bargaining. The optimal top tax rate increases when there are zero-sum compensation-bargaining effects. We present empirical evidence consistent with bargaining effects. Top tax rate cuts are associated with top one percent pretax income shares increases but not higher economic growth. US CEO “pay for luck” is quantitatively more prevalent when top tax rates are low. International CEO pay levels are negatively correlated with top tax rates, even controlling for firms’ characteristics and perfor- mance. JEL D31, H21, H24, H26, M12 ( ) he share of total pretax income accruing to upper income groups has increased Tsharply in the United States. The top percentile income share has more than dou- bled from less than 10 percent in the 1970s to over 20 percent in recent years Piketty ( and Saez 2003 . This trend toward income concentration has taken place in a number ) of other countries, especially English-speaking countries, but is much more modest in continental Europe or Japan Atkinson, Piketty, and Saez 2011 and Alvaredo et al. ( 2011 . At the same time, top tax rates on upper income earners have declined sharply ) in many OECD countries, again particularly in English-speaking countries. While there have been many discussions both in the academic literature and the public debate about the causes of the surge in top incomes, there is not a fully com- pelling explanation.
    [Show full text]
  • Subsidizing Health Insurance for Low-Income Adults: Evidence from Massachusetts: Dataset.” American Economic Review
    American Economic Review 2019, 109(4): 1530–1567 https://doi.org/10.1257/aer.20171455 Subsidizing Health Insurance for Low-Income Adults: Evidence from Massachusetts† By Amy Finkelstein, Nathaniel Hendren, and Mark Shepard* How much are low-income individuals willing to pay for health insurance, and what are the implications for insurance markets? Using administrative data from Massachusetts’ subsidized insurance exchange, we exploit discontinuities in the subsidy schedule to esti- mate willingness to pay and costs of insurance among low-income adults. As subsidies decline, insurance take-up falls rapidly, drop- ping about 25 percent for each $40 increase in monthly enrollee pre- miums. Marginal enrollees tend to be lower-cost , indicating adverse selection into insurance. But across the entire distribution we can observe approximately the bottom 70 percent of the willingness to pay distribution( enrollees’ willingness to pay is always less than half of their own) expected costs that they impose on the insurer. As a result, we estimate that take-up will be highly incomplete even with generous subsidies. If enrollee premiums were 25 percent of insur- ers’ average costs, at most half of potential enrollees would buy insurance; even premiums subsidized to 10 percent of average costs would still leave at least 20 percent uninsured. We briefly consider potential explanations for these findings and their normative impli- cations. JEL G22, H51, H75, I13, I18 ( ) Governments spend an enormous amount of money on health insurance for low-income
    [Show full text]
  • Workshop on Public Economics
    WORKSHOP ON PUBLIC ECONOMICS 2017 RIDGE MAY FORUM Montevideo, Uruguay / May 25-26, 2017 Scientific Committee Marcelo Bergolo (UDELAR-IECON) Guillermo Cruces (UNLP-CEDLAS) Itzik Fadlon (UCSD) François Gerard (Columbia University) Simon Jaeger (MIT) Joana Naritomi (London School of Economics) Christopher Neilson (Princeton University) Ricardo Perez-Truglia (UCLA) Stefanie Stantcheva (Harvard University) Keynote Speaker Joel Slemrod (University of Michigan) Call for papers for the Workshop on Public Economics The Research Institute for Development, Growth and Economics (RIDGE) is pleased to announce a call for papers for the Workshop on Public Economics to be held in Montevideo, Uruguay, on 25-26May 2017. The deadline for submission is February 15, 2017 (12 AM ET). The focus of the 2017 Public Economic workshop will be on (but not restricted to): Taxation and Redistributive Systems Optimal Taxation Tax Evasion Welfare Economics and Normative Economics Social Security, Social Insurance and Health Economics DevelopmentEconomics and Policies Behavioral Economics and Policies Labor Market Analysis/Policies Education and Policies Local Public Economics and Geographical Economics The 2017 workshop will take place within the framework of the 2017 RIDGE May Forum along with the following workshops: Trade and Firm Dynamics, May 19-20 (Montevideo, Uruguay) Economic History, May 26-27 (Montevideo, Uruguay) The RIDGE forums aim at the spreading of high quality research in economics by bringing together prestigious researchers working on the frontier of knowledge to local and regional researchers and policymakers. To view the programme of previous workshops please visit: http://www.ridge.uy/ridge-forums/ Participants to this workshop are welcome to attend the other workshops.
    [Show full text]
  • Surveys and Experiments to Understand How People Think About the Economy
    Surveys and Experiments to Understand How People Think about the Economy Stefanie Stantcheva October 2020 1 10 Method: Large-scale Social Economics Surveys and Experiments Surveys are a key tool: Some things can not be seen in other data, no matter how good it is: Perceptions, attitudes, knowledge, views. Unlike old-style surveys (that measure variables now better captured in admin data). New generation surveys: Customizable, controllable, interactive. Social Economics Lab http://socialeconomicslab.org Website on “Understanding Economics” (what people know about economics): understandingeconomics.org 2 10 PROJECTS (1) “Intergenerational Mobility and Preferences for Redistribution" by Alberto Alesina, Stefanie Stantcheva, and Edoardo Teso (2) “Immigration and Redistribution" by Alberto Alesina, Armando Miano, and Stefanie Stantcheva (3) “How Elastic Are Preferences for Redistribution: Evidence from Randomized Survey Experiments” by Ilyana Kuziemko, Michael I. Norton, Emmanuel Saez, and Stefanie Stantcheva (4) “Understanding Tax Policy: How Do People Reason?" by Stefanie Stantcheva 3 10 Intergenerational Mobility and Support for Redistribution Alberto Alesina, Stefanie Stantcheva, and Edoardo Teso https://scholar.harvard.edu/stantcheva/publications/ intergenerational-mobility-and-support-redistribution 4 10 Intergenerational Mobility and Preferences for Redistribution Alberto Alesina, Stefanie Stantcheva, and Edoardo Teso 1 1 (Stereo)typically Documented Views Continental Europeans: Americans: Econ system is basically unfair Econ system mostly “fair," American dream alive Wealth due to family history, connections, sticky social Wealth is reward for ability and classes effort Poverty due to bad luck, Poverty due to inability to take society’s inability to help the advantage of opportunity needy Effort pays off Effort may payoff 70% of Americans versus 35% of Europeans believe you can climb social ladder if you work hard (WVS) Yet, intergenerational mobility not systematically higher in the US (Chetty et al.
    [Show full text]
  • Taxation and Innovation
    Taxation and Innovation Stefanie Stantcheva (Harvard University) 75th Annual Congress of the International Institute of Public Finance, Glasgow, August 2019 1 23 Innovation is One of Main Drivers of Long-Run Growth .4 CT NJ MA .2 VAMD NH GA NC NY MN FL DE CO TX IL WA MI SCTN WI CA 0 KS PA VT AL OK MOIN OH NERI OR NV KY IA WY SD ME AR LA ND MS UT WV NMID AZ −.2 MT −.4 Residualized Annual GPC Growth Rate 1900−2000 −3 −2 −1 0 1 2 Residualized Log Patents (1900−2000) Growth = 0.000 + 0.066 * Patents Slope coefficient statistically significant at 1% level 2 23 In This Talk: Two ways to study interplay between taxation and innovation: 1 Effects of general taxes on innovation are unwelcome byproduct that we need to consider and quantify. 2 Tax policy could be designed intentionally so as not to hurt, or even to stimulate, innovation. 1. Taxation and Innovation in the U.S. over the 20th Century. 2. International effects of top-income taxation since 1975 on innovation. 3. Designing corporate tax and R&D policies to foster innovation. 3 23 1. Taxation and Innovation in the U.S. over the 20th Century 4 23 Taxation and Innovation Thomas A. Edison Melvin De Groote Nikola Tesla Light bulb. Chocolate ice cream. Alternating Current. Holds 1093 patents. Holds 925 Patents. Holds 278 Patents. 2/63 Taxation and Innovation Thomas A. Edison Melvin De Groote Nikola Tesla Light bulb. Chocolate ice cream. Alternating Current. Holds 1093 patents. Holds 925 Patents.
    [Show full text]
  • 1410 Syllabus Fall 2019 V2
    Fall 2019 ECONOMICS 1410 / KENNEDY SCHOOL SUP-125 Public Economics: Designing Government Policy Professors Stefanie Stantcheva and Stan Veuger Teaching Fellow: Tanggang Yuan, [email protected] Course Description: This course analyzes what role the government plays and should play in a market economy, especially those policies that work through taxes and government spending. It covers topics such as tax and welfare policy, unemployment insurance, environmental protection, social security, state and local policy and political economy. The course emphasizes recent empirical research on policy issues and will teach students how to conduct such studies. The first half of the course, taught mainly by Professor Stantcheva, will cover the basic principles of public economics. These principles will be used to shed light on current questions and debates on tax policy. The second half of the course, taught mainly by Professor Veuger, will discuss recent research on taxation, health care, the regulatory state, political economy, and state and local policy. This part of the course will also teach students current econometric methods used in public economics. Prerequisites: Economics 1010a or 1011a or permission of the instructors. Familiarity with multivariate calculus and econometrics (at the level of economics 1123 or 1126) is desirable. Course Mechanics: 1) Lectures – Two lectures per week. MW 3:00 to 4:15 in Sever 308. 2) Sections – One per week. Room and time TBA. 3) Readings – Jonathan Gruber, Public Finance and Public Policy (5th edition), is the optional but recommended textbook. Other required readings are listed below. 4) Assignments will be posted on the course website, which should be checked regularly: https://canvas.harvard.edu/courses/60932 Grading: Grades will be based on a midterm exam (30 percent), final exam (50 percent), and problem sets (20 percent).
    [Show full text]
  • The Value of Medicaid: Interpreting Results from the Oregon Health Insurance Experiment
    The Value of Medicaid: Interpreting Results from the Oregon Health Insurance Experiment Amy Finkelstein Massachusetts Institute of Technology Nathaniel Hendren Harvard University Erzo F. P. Luttmer Dartmouth College We develop frameworks for welfare analysis of Medicaid and apply them to the Oregon Health Insurance Experiment. Across different approaches, we estimate low-income uninsured adults’ willingness to pay for Medicaid between $0.5 and $1.2 per dollar of the resource cost of providing Medicaid; estimates of the expected transfer Medicaid pro- vides to recipients are relatively stable across approaches, but estimates of its additional value from risk protection are more variable. We also estimate that the resource cost of providing Medicaid to an additional recipient is only 40 percent of Medicaid’s total cost; 60 percent of Med- icaid spending is a transfer to providers of uncompensated care for the low-income uninsured. We are grateful to Lizi Chen for outstanding research assistance and to Isaiah Andrews, David Cutler, Liran Einav, Matthew Gentzkow, Jonathan Gruber, Conrad Miller, Jesse Sha- piro, Matthew Notowidigdo, Ivan Werning, three anonymous referees, Michael Green- stone (the editor), and seminar participants at Brown, Chicago Booth, Cornell, Harvard Medical School, Michigan State, Pompeu Fabra, Simon Fraser University, Stanford, the University of California Los Angeles, the University of California San Diego, the University of Houston, and the University of Minnesota for helpful comments. We gratefully acknowl- edge financial support from the National Institute of Aging under grants RC2AGO36631 and R01AG0345151 (Finkelstein) and the National Bureau of Economic Research Health Electronically published November 5, 2019 [ Journal of Political Economy, 2019, vol.
    [Show full text]
  • (Taxation) Professor Michael Smart [email protected] GE 268 Preliminaries the Standard Gr
    Economics 2600 Public Economics (Taxation) Professor Michael Smart [email protected] GE 268 Preliminaries The standard grading scheme for the course is: Class presentation 15% Short paper 25% Final exam 50% Class participation 10% There is no required textbook, but you may wish to consult: Richard Tresch, 2002, Public Finance: A Normative Theory, 2nd ed, (Amsterdam, Aca- demic Press). Bernard Salanie, 2003, The Economics of Taxation, (Cambridge, MIT Press). A. B. Atkinson and J. E. Stiglitz, 2015, Lectures on Public Economics, (Princeton: Prince- ton University Press). James Mirrlees et al., Dimensions of Tax Design and Tax by Design, (The Mirrlees Re- view), available online at ifs.org.uk. Papers marked * in the following you should definitely read – preferably before they are dis- cussed in class. Please choose a paper to present in class from the ones marked with +. (Deails to follow.) Note that not all the topics marked y will be covered this year. Note that you can find all these papers online through the usual sources, or on the course website. Lectures 1. Introduction Tresch, chaps. 1-4. 2. Deadweight loss and tax avoidance *Auerbach, Alan, and J. Hines, 2002, “Taxation and economic efficiency,” secs. 1-2, in A. Auer- bach and M. Feldstein, eds., Handbook of Public Economics, vol. 3, pp. 1347-1421. (Also NBER Working Paper 8181.) Diamond, P. and D. McFadden, 1974, “Some uses of the expenditure function in public fi- nance”, Journal of Public Economics, 3, 3-22. Dahlby, Bev and Ergete Ferede, 2012, “The effects of tax rate changes on tax bases and the marginal cost of public funds for Canadian provincial governments,” International Tax and Public Finance, Vol.
    [Show full text]
  • Ufuk Akcigit
    UFUK AKCIGIT Department of Economics, University of Chicago May 2017 Contact Information Mailing Address: Office Address: 1126 E 59th Street 5757 South University Ave Chicago, IL, 60637 Saieh Hall, Office # 403 Email: [email protected]. Tel: 773-702-0433. Fax: 773-702-8490. Webpage: www.ufukakcigit.com Citizenship: Turkish, U.S. Permanent Resident Appointments Assistant Professor University of Chicago July 2015 - Present Faculty Research Fellow National Bureau of Economic Research Sep 2010 - Present Distinguished Research Fellow Koc University, Istanbul July 2016 - Present Research Affiliate Center for Economic and Policy Research Nov 2016 - Present Assistant Professor University of Pennsylvania July 2009 - June 2015 Education Ph.D, Economics Massachusetts Institute of Technology June 2009 B.A, Economics Koc University, Istanbul June 2003 Fields of Interest Macroeconomics, Economic Growth, Firm Dynamics, Innovation, Entrepreneurship. Relevant Positions Short-term Consultant The World Bank Spring 2013 Dissertation Intern Board of Governors, Federal Reserve, DC Summer 2007 Academic Visits Department of Economics, University of Chicago Spring 2015 Becker Friedman Institute, University of Chicago Fall 2014 Cowles Foundation, Yale University September 2014 Minneapolis FED October 2012 Editorial Position Associate Editor Journal of the European Economic Association January 2015 - Present 1 CV - May 2017 Ufuk Akcigit Publications • \Growth through Heterogeneous Innovations," (w/ William Kerr). - Journal of Political Economy, forthcoming. • \Immigration and the Rise of American Ingenuity," (w/ John Grigsby and Tom Nicholas). - American Economic Review, Papers and Proceedings, 2017, 107(5): 327-331. • \Taxation and the International Migration of Inventors," (w/ Salome Baslandze and Stefanie Stantcheva), - American Economic Review, 2016, 106(10): 2930-2981. • \Creative Destruction and Subjective Well-Being," (w/ Philippe Aghion, Angus Deaton and Alexandra Roulet), - American Economic Review, 2016, 106(12): 3869-3897.
    [Show full text]