TY  - JOUR
AU  - Kaplow,Louis
TI  - A Fundamental Objection to Tax Equity Norms: A Call for Utilitarianism
JF  - National Bureau of Economic Research Working Paper Series
VL  - No. 4961
PY  - 1996
Y2  - February 1996
UR  - http://www.nber.org/papers/w4961
L1  - http://www.nber.org/papers/w4961.pdf
N1  - Author contact info:
Louis Kaplow
Harvard University
Hauser 322
Cambridge, MA  02138
Tel: 617/495-4101
Fax: 617/496-4880
E-Mail: meskridge@law.harvard.edu
AB  - Anti-utilitarian norms often are used in assessing tax systems. Two motivations support this practice.  First, many believe utilitarianism to be insufficiently egalitarian.  Second, utilitarianism does not give independent weight to other equitable principles, notably concerns that reforms may violate horizontal equity or result in rank reversals in the income distribution.  This investigation suggests that a policy maker who believes in the Pareto principle -- that any reform preferred by everyone should be adopted - - cannot consistently adhere to any of these anti-utilitarian sentiments.  Moreover, the affirmative case for utilitarian tax policy assessment is stronger than is generally appreciated.
ER  -