Besfamille, Martin; De Donder, Philippe; Lozachmeur, … - C.E.P.R. Discussion Papers - 2009
The objective of this paper is to understand the determinants of the enforcement level of indirect taxation in a positive setting. We build a sequential game where individuals differing in their willingness to pay for a taxed good vote over the enforcement level. Firms then compete à la Cournot...