In a neoclassical growth model with public consumption, we show the following Pareto optimal tax rules. The government should tax leisure and private consumption at the same rate, and subsidize net investment at the same rate it taxes net capital income. Also, it should tax capital income more...

In a neoclassical growth model with public consumption, we show the following Pareto optimal tax rules. The government should tax leisure and private consumption at the same rate, and subsidize net investment at the same rate it taxes net capital income. Also, it should tax capital income more...

The Global Correspondence Principle of Samuelson states that global comparative static results hold even in the absence of an initial stable equilibrium. This principle has been applied in recent studies of international trade with variable returns to scale to resolve paradoxical results with...

This paper develops an approach for valuing Internet Service Providers (ISPs). The viewpoint is taken that once access to the Internet is obtained it can then be characterized by non-rivalrous consumption and non-exhaustibility. However, the quality of access is affected by the capacity of the...

We examine the impact of an optimal emissions tax on research and development of emission reducing green technology (E-R&D) in the presence of R&D spillovers. We show that the size and effectiveness of the optimal emissions tax depends on the type of the R&D spillover: input or output spillover....