This paper offers an initial exploration of a positive counterpart to the normative Ramsey-Diamond-Mirrlees theory of optimal commodity taxation. A model of lobbying for taxes and subsidies on production and consumption in an open economy is constructed, generalizing the Crossman-Helpman model...

We study the electoral competition between two parties vying for seats in a legislature. The electorate includes knowledgeable voters and impressionable voters, the latter susceptible to electioneering activities. A special interest group provides campaign financing in exchange for influence...