Skip to main content Accessibility help

We use cookies to distinguish you from other users and to provide you with a better experience on our websites. Close this message to accept cookies or find out how to manage your cookie settings.

Close cookie message
×
  1. Home
  2. Search

Refine search

Refine search

Access:
Content type:
Publication date:
Apply   From and To filters
Subject: Show more
Journals Show more
Publishers: Show more
Societies Show more
Series: Show more
Collections: Show more

Actions for selected content:

Select all | Deselect all
  • View selected items
  • Export citations
  • Download PDF (zip)
  • Save to Kindle
  • Save to Dropbox
  • Save to Google Drive

Save Search

You can save your searches here and later view and run them again in "My saved searches".

Please provide a title, maximum of 40 characters.
Cancel
×

15 results

Financial Regulation
  • A Transatlantic Perspective
  • Edited by Ester Faia, Andreas Hackethal, Michael Haliassos, Katja Langenbucher
  • Published online:
    05 August 2015
    Print publication:
    14 August 2015
  • The 2007 to 2009 financial crisis resulted in the re-emergence of the debate on financial regulation and its relationships with other macroeconomic policies, particularly monetary policy. In Europe, the financial crisis was followed by the sovereign debt crisis, as the bail-out of the financial sector put strains on public finances in several countries. The sequence of events called for a strengthening of the union, ranging from a common framework for supervisory policy that could minimize the risk of unforeseen bank or country defaults to a common resolution mechanism that could set equal rules across countries and reduce ex-ante mis-incentives to risk-taking and moral hazard. This analysis of the state of and prospects for financial regulation examines the lending and saving behavior of banks and households as well as their borrowing activities in order to understand the conflicting priorities and complicated decisions involved in the development and implementation of financial legislation.

  • 8 - Progressivity of capital gains taxation with optimal portfolio selection

  • Joel Slemrod, University of Michigan, Ann Arbor
  • Book:
    Tax Progressivity and Income Inequality
    Published online:
    20 May 2010
    Print publication:
    29 July 1994, pp 275-304

  • Summary

    Introduction

    The debate over capital gains taxes has served as a focal point for the larger debate over the desired progressivity of the tax system. Some argue that a reduction in the capital gains tax rate predominantly benefits upperincome taxpayers. Others argue that taxpayers in all income groups receive capital gains, and that once-in-a-lifetime gains artificially distort the concentration of gains by income class. In addition to the concern over progressivity, there are debates on the efficiency consequences of capital gains taxes: the degree to which they hinder or promote saving and investment and their effects on portfolio behavior.

    In this paper we present new data from the Internal Revenue Service on capital gains realizations between 1985 and 1989 as well as data from the Federal Reserve Board Survey of Consumer Finances (SCF) on stockholding. These data show a high concentration of stockholding and capital gains realizations in the highest income groups.

    Next, we draw upon these data to examine distributional effects and portfolio responses to changes in the tax treatment of capital gains. A simple analysis of tax burden focusing only on tax payments is not an accurate indication of the burden of a tax. Taxes generally create costs beyond the dollar value collected by causing persons to change their behavior to avoid the tax. Economists have long noted the “lock-in” effect as one of these additional costs. Taxes also reduce the variance in after-tax returns; for risk-averse investors, this reduction is a benefit.