Publications
Publications
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- All HBS Web
(362)
- Faculty Publications (48)
- February 2014 (Revised October 2019)
- Case
Should Corporate Profits Be Taxed? (A)
By: Matthew Weinzierl, Katrina Flanagan and Michael Cianellli
Taxing corporations is popular, but why? Corporations do not bear the burden of taxes, people do, and the incidence of the corporate income tax burden is likely to be far different from what many of its supporters assume.
Instructors may also obtain a Teaching... View Details
Instructors may also obtain a Teaching... View Details
- 2013
- Comment
Fairness and Redistribution: Comment
By: Rafael Di Tella and Juan Dubra
In an influential paper, Alesina and Angeletos (2005)—henceforth, AA—argued that a preference for fairness could lead two identical societies to choose different economic systems. In particular, two equilibria might arise: one with low taxes and a belief that the... View Details
- January 2013
- Article
Preference Heterogeneity and Optimal Capital Income Taxation
By: Mikhail Golosov, Maxim Troshkin, Aleh Tsyvinski and Matthew Weinzierl
We examine a prominent justification for capital income taxation: goods preferred by those with high ability ought to be taxed. In an environment where commodity taxes are allowed to be nonlinear functions of income and consumption, we derive an analytical expression... View Details
Keywords: Taxation
- Article
Tax Policy and the Efficiency of U.S. Direct Investment Abroad
By: Mihir A. Desai, C. Fritz Foley and James R. Hines Jr.
Deferral of U.S. taxes on foreign source income is commonly characterized as a subsidy to foreign investment, as reflected in its inclusion among "tax expenditures" and occasional calls for its repeal. This paper analyzes the extent to which tax deferral and other... View Details
- July–August 2012
- Article
A Better Way to Tax U.S. Businesses
By: Mihir Desai
The article argues that U.S. taxation reform should reduce corporate taxes, incorporate an awareness of the global marketplace, and generate revenue-neutral incentives for innovation. According to the article, a reduction in corporate tax rates would be offset by a tax... View Details
- 2012
- Working Paper
~Why Do We Redistribute so Much but Tag so Little? Normative Diversity, Equal Sacrifice and Optimal Taxation
Tagging is a free lunch in conventional optimal tax theory because it eases the classic tradeoff between efficiency and equality. But tagging is used in only limited ways in tax policy. I propose one explanation: conventional optimal tax theory has yet to capture the... View Details
- October 2011
- Article
The Surprising Power of Age-Dependent Taxes
This article provides a new, empirically driven application of the dynamic Mirrleesian framework by studying a feasible and potentially powerful tax reform: age-dependent labor income taxation. I show analytically how age dependence improves policy on both the... View Details
- 2011
- Working Paper
Tax Policy and the Efficiency of U.S. Direct Investment Abroad
By: Mihir A. Desai, C. Fritz Foley and James R. Hines Jr.
Deferral of U.S. taxes on foreign source income is commonly characterized as a subsidy to foreign investment, as reflected in its inclusion among "tax expenditures" and occasional calls for its repeal. This paper analyzes the extent to which tax deferral and other... View Details
- February 2010
- Article
The Optimal Taxation of Height: A Case Study of Utilitarian Income Redistribution
By: N. Gregory Mankiw and Matthew C. Weinzierl
Should the income tax include a credit for short taxpayers and a surcharge for tall ones? The standard Utilitarian framework for tax analysis answers this question in the affirmative. Moreover, a plausible parameterization using data on height and wages implies a... View Details
- Article
Optimal Taxation in Theory and Practice
By: N. Gregory Mankiw, Matthew C. Weinzierl and Danny Yagan
We highlight and explain eight lessons from optimal tax theory and compare them to the last few decades of OECD tax policy. As recommended by theory, top marginal income tax rates have declined, marginal income tax schedules have flattened, redistribution has risen... View Details
- March 2009 (Revised July 2010)
- Case
State Street Corporation
To maximize their effectiveness, color cases should be printed in color. State Street Corp. reports a 13% gain in EPS in 2008 amidst a global financial crisis. The stock price declines 59% on the day of the earnings report. This one day decline was exceeded in the... View Details
- January 2009
- Journal Article
The Fiscal Impact of High-skilled Emigration: Flows of Indians to the U.S.
By: Mihir Desai, D. Kapur, J. McHale and K Rogers
Easing immigration restrictions for the highly skilled in developed countries portends a future of increased human capital outflows from developing countries. The myriad consequences of these developments for developing countries include the direct loss of the fiscal... View Details
- 2008
- Book
On Competition
By: M. E. Porter
Competition is one of society's most powerful forces for making things better in many fields of human endeavor. The study of competition and the creation of value, in their full richness, have preoccupied me for several decades. Competition is pervasive, whether it... View Details
- 2008
- Working Paper
Just Keep My Money! Supporting Tax-time Savings with U.S. Savings Bonds
By: Peter Tufano
This paper reports the results of a 2007 experiment testing if specific process simplification can foster increased take-up rates for savings products, particularly by low-to-moderate income (LMI) households. Tax refund recipients at certain H&R Block tax preparation... View Details
- 2008
- Working Paper
Investable Tax Credits: The Case of the Low Income Housing Tax Credit
By: Mihir A. Desai, Dhammika Dharmapala and Monica Singhal
The Low Income Housing Tax Credit (LIHTC) represents a novel tax expenditure program that employs "investable" tax credits to spur production of low-income rental housing. While it has grown into the largest source of new affordable housing in the U.S. and its... View Details
- 2008
- Working Paper
Where Does It Go? Spending by the Financially Constrained
By: Shawn A. Cole, John Thompson and Peter Tufano
In this paper, we analyze the spending decisions of over 1.5 million Americans who vary in their degree of revealed credit constraints. Specifically, we analyze how these Americans spend their income tax refunds, using transaction-level data from a stored-value card... View Details
- August 2005
- Background Note
Note on International Tax Regimes
By: Mihir A. Desai, Mark Veblen and Kathleen Luchs
Provides a framework for understanding different types of international tax regimes. Examines how alternative tax regimes tax the foreign income of their citizens (including corporate citizens); how tax regimes define foreign and domestic income; and how foreign tax... View Details
- October 2004
- Article
Are Politicians Really Paid Like Bureaucrats?
By: Rafael Di Tella and Raymond Fisman
We provide the first empirical analysis of gubernatorial pay. Using U.S. data for 1950-90, we document substantial variation in the wages of politicians, both across states and overtime. Gubernatorial wages respond to changes in state income per capita and taxes. We... View Details
- July 2004 (Revised January 2007)
- Case
H&R Block and "Everyday Financial Services"
By: Peter Tufano and Daniel Schneider
H&R Block, the U.S. market leader in tax preparation services, must decide whether to offer financial services to its low-income clients. H&R Block is facing increased competition from branded and nonbranded tax preparers, and the number of returns prepared by the... View Details