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The incidence of the burden of a tax is usually presented as an application of elasticity in introductory economics. A more useful exposition of tax incidence results if slope is used rather than elasticity.
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Conventional analysis of public goods provision aggregates individual willingness to pay while treating income as exogenous, ignoring the fact that we generate income to allow us to purchase utility-generating goods. We explore the implications of endogenizing the labor/leisure decision by...
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Elected representatives have little incentive to pursue the interests of those electing them once they are elected. This well-known principle-agent problem leads, in a variety of theories of government, to nonoptimally large levels of government expenditure. An implication is that budgetary...
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While there was no abstract for this brief paper, it clarifies for students that demand and supply slopes convey the burden of taxation discussion at least as well as does the more typical discussion employing elasticities.
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