How Much Does Work Pay? New Data on Combined Marginal Tax Rates

Award Year


Grant Type

Early Career Research Award


This paper summarizes new evidence about the incidence and correlates of the Marginal Tax Rates (MTRs) and possible labor supply effects under a reasonably current policy regime. In prior work, the author used a unique longitudinal data set consisting of state human services caseload data merged with Unemployment Insurance and Department of Revenue data to calculate the incidence of high MTRs for Wisconsin residents in 2000 (Holt & Romich, 2007). This study reports on an extension of this work that involves linking additional data from 2001 and 2002 to the original data and describing longitudinal patterns.