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We study a dynamic model with two competing durable goods; one dirty, the other clean. Due to network effects a consumer who adopts the dirty good today will increase the incentive future consumers have to adopt the dirty good. Thus, a consumer who chooses the dirty good, in a sense causes more...
Persistent link: https://www.econbiz.de/10010345203
We consider the effects of taxes for competing two-sided platforms. We first detail how a platform passes a tax increase on its prices. Adding price competition, we study next how the tax affects profits. Because of the strategic implications of the cross-side external effects, the tax increase...
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answers and can be used to estimate market power and pass through rates. I show that even a naive one-sided model that ignores …
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subsidies. -- Labor taxation ; human capital investment ; education subsidies ; idiosyncratic risk ; risk properties of human …
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-enhancing as it increases capital investment. This holds for any tax level and any recycling of the tax revenues except for …
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uncertain fuel market returns. Without uncertainty, the unilateral investment tax is welfare-neutral: costless but ineffective … divestment. With uncertainty, the regional investment choice affects global fuel usage, and correspondingly the optimal regional … fuel policy contains a investment tax in addition to taxes on deposit supply and consumption. Even absent terms …
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. Therefore, in an inflationary period generous tax depreciation provisions do not promote private investment as designed, but …
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