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When there are collection lags in the tax system, inflation reduces the real revenues. This is often offered as an argument for less reliance on the inflation tax. But the optimal rates of other taxes should also be reconsidered in the light of collection lags. When this is done, the focus...
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The Making of Economic Policy begins by observing that most countries' trade policies are so blatantly contrary to all the prescriptions of the economist that there is no way to understand this discrepancy except by delving into the politics. The same is true for many other dimensions of...
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Biographical note: DixitAvinash K.: Avinash K. Dixit is John J. F. Sherrerd ’52 University Professor of Economics at Princeton University. He is the author or coauthor of nine books, including "Investment under Uncertainty" (Princeton), "Thinking Strategically" (Norton), "Games of Strategy"...
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How can property rights be protected and contracts be enforced in countries where the rule of law is ineffective or absent? How can firms from advanced market economies do business in such circumstances? In Lawlessness and Economics, Avinash Dixit examines the theory of private institutions that...
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