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Time, Self-Selection and User Charges for Public Goods

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Author Info
Anderberg, D.
Andersson, F.
Balestrino, A.

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Abstract

Many public goods generate utility only when combined with time-input. Important examples include road networks and publicly provided leisure facilities. If it is possible to charge for the time spent using the public good it is generally a second-best Pareto optimal policy to do so even in the absence of congestion. An optimal linear user charge is analyzed within a standard optimum income-tax framework. Second-best public good provision in the presence of a user charge is also characterized and factors that influence the direction of optimal distortion of the public good supply are identified.

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File URL: http://www2.warwick.ac.uk/fac/soc/economics/research/workingpapers/publications/pubgsub.pdf
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Publisher Info
Paper provided by University of Warwick, Department of Economics in its series The Warwick Economics Research Paper Series (TWERPS) with number 526.

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Length: 18 pages
Date of creation: 1999
Date of revision:
Handle: RePEc:wrk:warwec:526

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Related research
Keywords: GOVERNMENT ; PUBLIC GOODS ; TAXATION;

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Find related papers by JEL classification:
H21 - Public Economics - - Taxation, Subsidies, and Revenue - - - Efficiency; Optimal Taxation
H41 - Public Economics - - Publicly Provided Goods - - - Public Goods

Cited by:
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  1. Alberto Chilosi, 2003. "The Economic System As An End Or As A Means And The Future Of Socialism And Capitalism: An Evolutionary Viewpoint," Development and Comp Systems 0305003, EconWPA, revised 14 Sep 2003. [Downloadable!]
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This page was last updated on 2009-11-30.

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