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Many economics texts cover the economics of controlling negative production externalities. Most authors introduce their …
Persistent link: https://www.econbiz.de/10014215773
This chapter examines government policy alternatives for protecting the environment. We compare environmentally motivated taxes and various non-tax environmental policy instruments in terms of their efficiency and distributional impacts. Much of the analysis is performed in a second-best setting...
Persistent link: https://www.econbiz.de/10014024841
This paper provides a novel justification for using a minimum wage to supplement an optimal tax-and-transfer system. We demonstrate that if labor supply decisions are concentrated along the intensive margin and employment is efficiently rationed, a minimum wage can be socially beneficial by...
Persistent link: https://www.econbiz.de/10010402108
We calibrate an incomplete markets large scale OLG model to the US income and wealth distribution and examine the effects of alternative government debt levels and adjustment policies on macroeconomic aggregates and welfare. We find that the government should hold negative debt. Due to the high...
Persistent link: https://www.econbiz.de/10013056838
Persistent link: https://www.econbiz.de/10010338190
policy reform is welfare improving or not. From the theory of optimal taxation in the presence of externalities, we know that … welfare effects of small policy changes in the presence of transport externalities. The model incorporates three types of … externalities: congestion, which has a feedback effect on the behaviour of the economic agents, air pollution and accidents. The …
Persistent link: https://www.econbiz.de/10014196434
externalities caused by domestic trade, focusing on exter- nalities that arise through exports. Externalities from exports come from … for a wide range of externalities and show the most widely used corrective mechanism, taxes on the sector imposing the …
Persistent link: https://www.econbiz.de/10003832394
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This paper studies the design of sin taxes when firms exercise market power. We outline an optimal tax framework that highlights how market power impacts the efficiency and redistributive properties of sin taxation, and quantify these effects in an application to sugar-sweetened beverage...
Persistent link: https://www.econbiz.de/10012623743