Heterogeneity in Labor Supply Responses to Tax Changes
Amanda G. Birkeland, OFS scholarship recipient 2020
The present thesis analyzes heterogeneity in labor supply responses to tax changes. My utilized tool for investigating this topic is the microsimulation model LOTTE- Arbeid, which is developed by the Research Department of Statistics Norway. The model is estimated on cross-sectional data of Norwegian households and delivers output in terms of labor supply elasticities.
The findings contribute new, meaningful subgroups within the simulated labor supply responses to tax changes. I compare the results to that of related international literature, and further analyze heterogeneity across subgroups with econometric models.