The impact of introducing a tax on tobacco consumption can be studied trough an adverse selection model. The objective of the model presented in the following is to characterize the optimal contractual relationship between the governmental authorities and the two type employees: smokers and...

Recently, in February 2006, the Romanian government has approved the introduction of the tax on vices – on the products heavily affected the health if consumed (cigarettes and alcohol) - The tax set up is 10 euro/1.000 cigarettes, meaning 20 eurocents/cigarette pack, and 200 euro/hl...

Macroeconomic policies are designed to reach real economic targets like: lower employment and inflation rate, increasing output, balance of payment equilibrium, and so on. There is no unique model to choose the appropriate policy in a real context. That depends on too many influence factors –...

The behaviour of the economic agent – customer is a rational type of behaviour in order to maximize the satisfaction achieved through the use of commodities. In order to determine a rational behaviour, we start from the premise that every costumer has complete and accurate information on: the...