Optimal Taxation and Education Subsidies

Project Start:09/2016
Researchers:Fabian Becker, Dirk Krueger, Alexander Ludwig, Faisal Sohail
Category: Macro Finance
Funded by:LOEWE

This project continues our ongoing work in SAFE Project “Optimal Taxation and Education Subsidies”, joint work of Fabian Becker (University of Cologne, GU and SAFE), Dirk Krueger (Upenn) and Alexander Ludwig (SAFE).


Characterization of optimal mix between early (primary school) and late (secondary school) education subsidies, subsidies to higher education and progressive income taxation in a quantitative macro public finance model with endogenous education choices and human capital investment decisions by parents into their children

Related Working Papers

No.Author/sTitleYearProgram AreaKeywords
201Dirk Krueger, Alexander LudwigOptimal Taxes on Capital in the OLG Model with Uninsurable Idiosyncratic Income Risk2018 Macro Finance Idiosyncratic Risk, Taxation of Capital, Overlapping Generations, Precautionary Saving, Pecuniary Externality
110Dirk Krueger, Philipp Krüger, Alexander LudwigOn the Optimal Provision of Social Insurance2015 Macro Finance Progressive Taxation, Education Subsidy, Transitional Dynamics