burden stemming from the tax-induced distortion in the allocation of capital across the corporate and the non … would change compared with a sector-neutral tax system which assures an identical effective tax burden on both sectors. Our …

oligopoly. We find that in the short run, i.e. when the number of firms in both markets is exogenous, the results concerning tax … overshifting of both taxes is more likely to occur and is more pronounced under upstream oligopoly. As a result of this, a tax … short run while this is not true for the ad valorem tax in the long run. We show that it is normally more efficient to tax …