Income Effects and Labor Supply - Evidence from a Swedish Property Tax Reform
This paper utilizes the 2008 capping of the Swedish property tax, which decreased the tax at different rates below and above the cap, to estimate the income effect. Using administrative data on over 600,000 individuals over twelve years, we employ a Difference-in-Differences approach and Coarsened Exact Matching to study how married cohabiting couples around the cap threshold respond to the reform