Behrens, Kristian; Kanemoto, Yoshitsugu; Murata, Yasusada - In: Journal of Urban Economics 85 (2015) C, pp. 34-51
The Henry George Theorem (HGT) states that, in first-best economies, the fiscal surplus of a city government that finances the Pigouvian subsidies for agglomeration externalities and the costs of local public goods by a 100% tax on land is zero at optimal city sizes. We extend the HGT to...
