Emmanuel Saez

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Emmanuel Saez
Emmanuel Saez 2019 (cropped).jpg
Saez in 2019
Born (1972-11-26) November 26, 1972 (age 48)
Spain
NationalityFrench
American
Institution University of California, Berkeley
Field Public economics Economic history
School or
tradition
Neo-Keynesian economics
Alma mater École Normale Supérieure
Massachusetts Institute of Technology
Paris School of Economics
Doctoral
advisor
James M. Poterba [1]
Peter Diamond [1]
Influences Anthony Barnes Atkinson
ContributionsResearch on inequality
Awards John Bates Clark Medal (2009)
MacArthur Fellowship (2010)
Information at IDEAS / RePEc

Emmanuel Saez (born November 26, 1972) is a French, naturalized American economist who is Professor of Economics at the University of California, Berkeley. [2] His work, done with Thomas Piketty and Gabriel Zucman, includes tracking the incomes of the poor, middle class and rich around the world. Their work shows that top earners in the United States have taken an increasingly larger share of overall income over the last three decades, with almost as much inequality as before the Great Depression. He recommends much higher (marginal) taxes on the rich, up to 70% or 90%. [3] He received the John Bates Clark Medal in 2009, a MacArthur "Genius" Fellowship in 2010, and an honorary degree from Harvard University in 2019.

Contents

Research

Emmanuel Saez graduated from the École Normale Supérieure in 1996 where he studied mathematics and economics. He then received his Ph.D. in economics from the Massachusetts Institute of Technology (MIT) in 1999. [4]

Saez has written extensively on the theory of optimal taxation and transfer, addressing topics such as wealth and income inequality, capital income taxation, and retirement. In addition to his theoretical work, he has authored a number of empirical papers, many of them applying the results from his theoretical work to US household data. His focus on the top 0.1% of the income and wealth distribution has led to his political theories about the "great compression" and the "great divergence" [5] [6] and led to significant research on the consensus about the ideal wealth distribution.

Saez's research on wealth and income inequality has largely focused on households at the top of the wealth and income distributions, which make up a significant portion of the US tax base.

Conservative critics, such as James Pethokoukis of the American Enterprise Institute, say that Saez and Piketty measure "market income," the total income before tax excluding income from government. Saez describes it as gross income reported on tax returns before any deductions. This excludes unemployment insurance, welfare payments, food stamps, Medicare, Medicaid, Social Security and employer-provided health insurance. Saez says that these are the best data available, as measured consistently since 1913. Critics say that they exaggerate inequality. [7]

In 2011, Saez and Peter Diamond argued in public media a widely discussed paper [8] [9] that the proper marginal tax rate for North Atlantic societies and especially the United States to impose is 73% (substantially higher than the current 42.5% top US marginal tax rate). [10]

Together with Raj Chetty and others he researched social mobility in the US. They found substantial geographic differences across the country that were correlated with five factors: segregation, income inequality, local school quality, social capital, and family structure. [11]

Awards

John Bates Clark Medal

He was the recipient of the 2009 John Bates Clark Medal, awarded to "that American economist under the age of forty who is judged to have made the most significant contribution to economic thought and knowledge." [12] Saez's research contributions have been mainly in the field of Public Economics. The 2009 John Bates Clark citation reads: [13]

"[Saez's] work attacks policy questions from both theoretical and empirical perspectives, on the one hand refining the theory in ways that link the characteristics of optimal policy to measurable aspects of the economy and of behavior, while on the other hand undertaking careful and creative empirical studies designed to fill the gaps in measurement identified by the theory. Through a collection of interrelated papers, he has brought the theory of taxation closer to practical policy making, and has helped to lead a resurgence of academic interest in taxation."

MacArthur Fellow

In 2010, the MacArthur Foundation named Saez a MacArthur Fellow for his research into the connection between income and tax policy. [14]

See also

Related Research Articles

Progressive tax

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Economic inequality Divergence in economic well-being within a group

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In economics, income distribution covers how a country's total GDP is distributed amongst its population. Economic theory and economic policy have long seen income and its distribution as a central concern. Classical economists such as Adam Smith (1723–1790), Thomas Malthus (1766–1834), and David Ricardo (1772–1823) concentrated their attention on factor income-distribution, that is, the distribution of income between the primary factors of production. Modern economists have also addressed issues of income distribution, but have focused more on the distribution of income across individuals and households. Important theoretical and policy concerns include the balance between income inequality and economic growth, and their often inverse relationship.

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References

  1. 1 2 Saez, Emmanuel (1999). Essays on the economics of income taxation (Ph.D.). MIT. hdl:1721.1/38434.
  2. "University of California, Berkeley". Econ.berkeley.edu. Retrieved 2009-05-24.
  3. Annie Lowrey (April 16, 2012). "For Two Economists, the Buffett Rule Is Just a Start". The New York Times . Retrieved 2016-09-10.
  4. "Emmanuel Saez". eml.berkeley.edu. Retrieved 2016-12-27.
  5. "Part One: Introducing the Great Divergence" (PDF). Img.slate.com. Retrieved 2016-09-10.
  6. Thomas Piketty; Emmanuel Saez. "The Evolution of Top Incomes: A Historical and International Perspective" (PDF). Elsa.berkeley.edu. Retrieved 2016-09-10.
  7. Thomas B. Edsall (April 22, 2012). "The Fight Over Inequality". The New York Times . Retrieved 2016-09-10.
  8. "Taxing Job Creators". The New York Times . Retrieved 2016-09-10.
  9. "The 70% Solution by J. Bradford DeLong". Project Syndicate. 2011-11-30. Retrieved 2016-09-10.
  10. Diamond, P.; Saez, E. (2011). "The Case for a Progressive Tax: From Basic Research to Policy Recommendation" (PDF). Journal of Economic Perspectives . 25 (4): 165. doi: 10.1257/jep.25.4.165 . S2CID   14121517.
  11. "Where is the land of opportunity? Intergenerational mobility in the US". VoxEU.org. 4 February 2014. Retrieved 2016-05-04.
  12. "Archived copy". Archived from the original on 2008-05-21. Retrieved 2008-07-14.CS1 maint: archived copy as title (link)
  13. "Emmanuel Saez" (PDF). Vanderbilt.edu. Retrieved 2016-09-10.
  14. "Meet the 2010 Fellows". MacArthur Foundation. Archived from the original on 30 September 2010. Retrieved 28 September 2010.