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pollution and international environmental policies. In our framework, international environmental policies are characterized as … pollution taxes determined in a negotiation between two countries. We find, among other things, that the presence of local … lobbying tends to reduce the level of pollution taxes. We also find that an increase in the environmental concern (i …
Persistent link: https://www.econbiz.de/10005424034
Today, many countries around the world respond to the global warming and its consequences with various policy instruments such as e.g. taxes, subsidies, emission permit trading, regulations and information campaigns. In the economic literature, policy instruments have typically been analyzed...
Persistent link: https://www.econbiz.de/10008478922
Several countries are responding to the climate change threat with various policy measures (e.g., taxes, permit trading, regulations, information campaigns, etc). While the effectiveness of different measures (instruments) has been studied extensively, very little research exists related to...
Persistent link: https://www.econbiz.de/10005424024
This paper concerns the optimal provision of a state-variable public good, where the global climate is the prime example. The analysis is based on a two-type optimal income tax model with overlapping generations, where people care about their relative consumption. We consider both...
Persistent link: https://www.econbiz.de/10009147385
This paper analyzes optimal differential commodity taxation, together with optimal nonlinear income taxation, in order to deal with positional preferences. It also derives the optimal public provision of private goods both when differential commodity taxation is feasible and when it is not. It...
Persistent link: https://www.econbiz.de/10010764697
During the latest decades, household mortgage loans have increased substantially in many countries. We develop an OLG model where housing is a positional consumption good (such that housing choices are partly driven by relative consumption concerns), and where the consumers are also...
Persistent link: https://www.econbiz.de/10010818893
Recent empirical evidence suggests that between-country social comparisons have become more important over time. This paper analyzes optimal income taxation in a multi-country economy, where consumers derive utility from their relative consumption compared with both other domestic residents and...
Persistent link: https://www.econbiz.de/10010818898
This paper deals with optimal income taxation and relative consumption under a welfarist government that fully respects people’s preferences and a paternalist government that does not share the consumer preference for relative consumption. Consistent with previous findings, relative...
Persistent link: https://www.econbiz.de/10011074901
Much evidence suggests that people are concerned with their relative consumption, i.e., their consumption in relation to the consumption of others. Yet, the social costs of conspicuous consumption have so far played little (or no) role in savings-based indicators of sustainable development. The...
Persistent link: https://www.econbiz.de/10011074902
This paper derives Pareto efficient policy rules for the provision of national as well as global public goods in a two-country world, where each individual cares about relative consumption within as well as between countries. Furthermore, we compare these policy rules with those that follow from...
Persistent link: https://www.econbiz.de/10010564004