Applied Economics Lunch Seminar

Du 05/06/2018 de 12:30 à 13:30

R2-01, Campus Jourdan, 48 boulevard Jourdan, 75014 Paris

* * (PSE)

The effect of labour taxation on top earners mobility: Evidence from Europe

As a geographic zone with no internal barriers to migration but substantially different levels of taxation, the European Union provides a unique laboratory to examine the effect of taxation on migration. This paper analyses the effects of top earnings tax rates on the mobility of top earners in Europe. Building a detailed micro-level dataset from the largest European labour survey, I investigate how heterogenous levels of taxation affect the migration behaviour of top income migrants and top earners mobile workers. Exploiting country-by-year variation in top marginal tax rates and differential impacts of changes in top tax rates on workers of different earnings level, I estimate macro and micro-level elasticities of migration with respect to taxation.