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123420 1 (1983-12-28)

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                                                                    123420









          MARGINAL TAX  RATES ON EARNINGS OF FACTOR  INPUTS:

                    ESTIMATES FOR FIVE OECD NATIONS


                         William B. Shear
                         U.S. General Accounting Office


                         George S. Tolley
                         University of Chicago








This paper  is to be presented at the ASSA Meetings  under the Society for
Government  Economists on December 26, 1983, in San  Francisco.  This research
was financed,  in part, by the Office-of Tax Analysis  at the U.S. Department
of the Treasury.   The opinions are strictly those of  the authors and do
not reflect the  opinions of their current employers  nor past funding sources.
Prior to completion  of this paper we benefitted  from helpful discussions
wita Gerry  Godshaw, Chuck Hulten, Gene Steuerle,  and Eric Toder.

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