Atkinson and Stiglitz theorem in the presence of a household production sector

Atkinson and Stiglitz (1976) uniform commodity tax result does not hold when (at least) one of the goods is produced within the household. The result is restored if preferences are weakly-separable in market goods versus leisure and household goods.

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Year of publication:	2015
Authors:	Cremer, Helmuth ; Gahvari, Firouz
Published in:	Economics Letters. - Elsevier, ISSN 0165-1765. - Vol. 126.2015, C, p. 91-95
Publisher:	Elsevier
Subject:	Atkinson and Stiglitz theorem \| Household production \| Weak-separability

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Type of publication:	Article
Classification:	H2 - Taxation, Subsidies, and Revenue
Source:	RePEc - Research Papers in Economics

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