TY - JOUR AU - Kleven, Henrik AU - Landais, Camille AU - Muñoz, Mathilde AU - Stantcheva, Stefanie TI - Taxation and Migration: Evidence and Policy Implications JF - National Bureau of Economic Research Working Paper Series VL - No. 25740 PY - 2019 Y2 - April 2019 DO - 10.3386/w25740 UR - http://www.nber.org/papers/w25740 L1 - http://www.nber.org/papers/w25740.pdf N1 - Author contact info: Henrik Kleven Department of Economics Princeton University 238 Julis Romo Rabinowitz Building Princeton, NJ 08544 Tel: 609/986-6890 E-Mail: kleven@princeton.edu Camille Landais Department of Economics London School of Economics Houghton Street London WC2A 2AE United Kingdom E-Mail: c.landais@lse.ac.uk Mathilde Muñoz Paris School of Economics E-Mail: mathilde.munoz@psemail.eu Stefanie Stantcheva Department of Economics Littauer Center 232 Harvard University Cambridge, MA 02138 Tel: 617-496-2614 E-Mail: sstantcheva@fas.harvard.edu AB - In this article, we review a growing empirical literature on the effects of personal taxation on the geographic mobility of people and discuss its policy implications. We start by laying out the empirical challenges that prevented progress in this area until recently, and then discuss how recent work have made use of new data sources and quasi-experimental approaches to credibly estimate migration responses. This body of work has shown that certain segments of the labor market, especially high-income workers and professions with little location-specific human capital, may be quite responsive to taxes in their location decisions. When considering the implications for tax policy design, we distinguish between uncoordinated and coordinated tax policy. We highlight the importance of recognizing that mobility elasticities are not exogenous, structural parameters. They can vary greatly depending on the population being analyzed, the size of the tax jurisdiction, the extent of tax policy coordination, and a range of non-tax policies. While migration responses add to the efficiency costs of redistributing income, we caution against over-using the recent evidence of (sizeable) mobility responses to taxes as an argument for less redistribution in a globalized world. ER -