Cremer, Helmuth; Gahvari, Firouz; Ladoux, Norbert - In: Journal of Environmental Economics and Management 59 (2010) 1, pp. 82-93
This paper studies environmental taxation in a Mirrlees setting with two novel features. First, energy, a polluting good, is used both as a factor of production and a final consumption good; second, the wage is determined endogenously while labor of different individual types remain homogeneous....