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Principles of efficient tax law: apocrypha.
- Article from:
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Virginia Tax Review
- Article date:
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January 1, 2008
- Author:
- O'Reilly, Terrance
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Copyright informationCOPYRIGHT 2008 Virginia Tax Review. This material is published under license from the publisher through the Gale Group, Farmington Hills, Michigan. All inquiries regarding rights should be directed to the Gale Group. (Hide copyright information)
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In this article, I examine guidelines that legal scholars have suggested for evaluating tax law in terms of economic efficiency. A common theme is that the efficiency of the tax treatment of a transaction is related to an elasticity or elasticities of some sort. Daniel Shaviro considers realization in terms of efficiency. Shaviro suggests that efficiency is promoted by "taxing more lightly the consequences of decisions that are tax-elastic." (1)In separate articles, David Weisbach and Deborah Schenk each propose evaluating certain tax policies according to the policy's effect on the elasticity of taxable income. In other work, Weisbach concludes that the determination whether ...
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