Dharmapala, Dhammika; Slemrod, Joel; Wilson, John Douglas - In: Journal of Public Economics 95 (2011) 9-10, pp. 1036-1047
We analyze the optimal taxation of firms when the government faces fixed (per-firm) administrative costs of tax collection. The tax instruments at the government's disposal are a fixed (per-firm) fee and a linear tax on output. If all firms in an industry are taxed, we show that it is optimal to...
