This paper analyzes the effects of specific and ad valorem taxation in an industry with downstream and upstream … this, a tax increase is more likely to be welfare reducing. We also demonstrate that downstream and upstream taxation are …

This paper studies commodity taxation in a model featuring heterogeneous consumers, imperfect competition, and tax … salience. We derive new formulas for the incidence and marginal excess burden of commodity taxation highlighting interactions … burden of taxation is larger than estimates based on standard formulas that ignore imperfect competition and tax salience. …