This paper studies optimal taxation of income and education when employers cannot observe workers' productivity and … workers signal their productivity to firms by choosing both quantity and quality of education. We characterize constrained …. Implementation through income and education dependent taxes is discussed, as well as education mandates. A key insight is that …

redistributive taxation. Our results show how an optimal mix of education policy, public employment, and support to the unemployed …-best optimum most likely implies overprovision of education relative to a policy rule that balances the direct marginal benefit and …

of education taxes/subsidies. We demonstrate how the government can achieve redistribution through wage compression and …

We study the joint design of nonlinear income and education taxes when the government pursues redistributive objectives … education. Market remuneration of agents depends on both their innate ability type and their educational choices. Our focus is … on income and education and shed light on the reasons for it and mechanisms through which it is done. We show how and why …