Norwegian Tax Reform Leads to Lower Income Responses Compared to U.S.
The study looked at how people in Norway changed their income in response to a tax reform in 1992. They found that high-income earners adjusted their taxable income when tax rates went up. The researchers used data to estimate how much people's income changed when taxes changed. The results showed that the impact of tax changes on income was lower in Norway compared to similar studies in the U.S.
