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About Amit Varma

Amit Varma is a writer based in Mumbai. He worked in journalism for over a decade, and won the Bastiat Prize for Journalism in 2007. His bestselling novel, My Friend Sancho, was published in 2009. He is best known for his blog, India Uncut. His current project is a non-fiction book about the lack of personal and economic freedoms in post-Independence India.

Bastiat Prize 2007 Winner

Recent entries

What a Fix!

This is the 19th installment of Rhyme and Reason, my weekly set of limericks for the Sunday Times of India…

Two Villains

This is the 18th installment of Rhyme and Reason, my weekly set of limericks for the Sunday Times of India…

How This Nobel Has Redefined Literature

This piece was published today in the Times of India. It’s rare that when a prize is given to someone,…

To Defeat Pakistan’s Generals, Let’s Embrace Their Artists

This is a guest column published today in the Sunday Times of India edit page. I am a hawk when…

The Girl From Haryana

A slightly shorter version of this feature on Sakshi Malik was published in the October 2016 issue of Elle India.…

12 December, 2007

Should Entrepreneurial Geniuses Pay a Higher Tax Rate?

If so, so should tall men, argues a new study by Greg Mankiw and Matthew Weinzierl.

No, they’re not being facetious. The abstract of the paper states:

Should the income tax system include a tax credit for short taxpayers and a tax surcharge for tall ones? This paper shows that the standard utilitarian framework for tax policy analysis answers this question in the affirmative. This result has two possible interpretations. One interpretation is that individual attributes correlated with wages, such as height, should be considered more widely for determining tax liabilities.

Alternatively, if policies such as a tax on height are rejected, then the standard utilitarian framework must in some way fail to capture our intuitive notions of distributive justice.

You can download the paper here (pdf link).

(NY Times link via email from Ravi Venkatesh.)

Posted by Amit Varma in Economics | Old memes | Taxes

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