On atmosphere externality and corrective taxes
AbstractIt has been argued that in the presence of an âAtmosphere Externalityâ and competitive behavior by households, a uniform commodity tax on the externality - generating good attains the first best. It is demonstrated, however, that if income redistribution is desirable then personalized taxes are required for a second-best optimum. Each of these taxes is the sum of a uniform (across households) tax and a component, positive or negative, which depends on the householdâs income and demand elasticities. Second-best optimal indirect taxes and rules for investment in externality-reducing measures are also considered.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.
Bibliographic InfoArticle provided by Elsevier in its journal Journal of Public Economics.
Volume (Year): 88 (2004)
Issue (Month): 3-4 (March)
Contact details of provider:
Web page: http://www.elsevier.com/locate/inca/505578
Other versions of this item:
- H21 - Public Economics - - Taxation, Subsidies, and Revenue - - - Efficiency; Optimal Taxation
- H23 - Public Economics - - Taxation, Subsidies, and Revenue - - - Externalities; Redistributive Effects; Environmental Taxes and Subsidies
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Sheshinski, Eytan & Green, Jerry, 1976.
"Direct Versus Indirect Remedies for Externalities,"
3204666, Harvard University Department of Economics.
- Chipman, John S, 1970. "External Economies of Scale and Competitive Equilibrium," The Quarterly Journal of Economics, MIT Press, vol. 84(3), pages 347-85, August.
- Aoki, Masahiko, 1971. "Marshallian External Economies and Optimal Tax-Subsidy Structure," Econometrica, Econometric Society, vol. 39(1), pages 35-53, January.
- Lau, Lawrence J & Sheshinski, Eytan & Stiglitz, Joseph E, 1978. "Efficiency in the Optimum Supply of Public Goods," Econometrica, Econometric Society, vol. 46(2), pages 269-84, March.
- Peter A. Diamond, 1973. "Consumption Externalities and Imperfect Corrective Pricing," Bell Journal of Economics, The RAND Corporation, vol. 4(2), pages 526-538, Autumn.
- Jukka Pirttilä & Matti Tuomala, 1997. "Income Tax, Commodity Tax and Environmental Policy," International Tax and Public Finance, Springer, vol. 4(3), pages 379-393, July.
- David Meintrup & Chang Woon Nam, 2009.
"Shadow market area for air pollutants,"
Environment and Planning B: Planning and Design,
Pion Ltd, London, vol. 36(4), pages 664-681, July.
- Shinotsuka, Tomoichi & Sumino, Ko, 2005. "A note on optimal taxation in the presence of externalities," ãã¸ãã¹åµé ã»ã³ã¿ã¼ãã£ã¹ã«ãã·ã§ã³ã»ãã¼ãã¼ (Discussion papers of the Center for Business Creation) 10252/956, Otaru University of Commerce.
- Dirk T.G. Rübbelke & Anil Markandya, 2008.
"Impure Public Technologies and Environmental Policy,"
2008.76, Fondazione Eni Enrico Mattei.
- Anil Markandya & Dirk T.G. Rübbelke, 2012. "Impure public technologies and environmental policy," Journal of Economic Studies, Emerald Group Publishing, vol. 39(2), pages 128-143, May.
- Dirk T.G. Ruebbelke & Eytan Sheshinski, 2005. "Transfers as a Means to Combat European Spillovers," Journal of Economics and Statistics (Jahrbuecher fuer Nationaloekonomie und Statistik), Justus-Liebig University Giessen, Department of Statistics and Economics, vol. 225(6), pages 699-710, November.
- Susanne Dröge & Philipp J. H. Schröder, 2005. "Corrective Ad Valorem and Unit Taxes: A Welfare Comparison," Discussion Papers of DIW Berlin 534, DIW Berlin, German Institute for Economic Research.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Wendy Shamier).
If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.
If references are entirely missing, you can add them using this form.
If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.
If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.
Please note that corrections may take a couple of weeks to filter through the various RePEc services.