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A note on optimal paternalism and health capital subsidies

  • Aronsson, Thomas
  • Thunström, Linda
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    This paper concerns the policy implications of a potential self-control problem underlying the consumption of unhealthy food. Our results show that subsidies on wealth and health capital can be used to implement a socially optimal resource allocation.

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    File URL: http://www.sciencedirect.com/science/article/B6V84-4T8SKWS-6/2/4c058038a77580aa92e340185f25e8ba
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    Article provided by Elsevier in its journal Economics Letters.

    Volume (Year): 101 (2008)
    Issue (Month): 3 (December)
    Pages: 241-242

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    Handle: RePEc:eee:ecolet:v:101:y:2008:i:3:p:241-242
    Contact details of provider: Web page: http://www.elsevier.com/locate/ecolet

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    1. Ted O'Donoghue and Matthew Rabin ., 1997. "Doing It Now or Later," Economics Working Papers 97-253, University of California at Berkeley.
    2. O'Donoghue, Ted & Rabin, Matthew, 2006. "Optimal sin taxes," Journal of Public Economics, Elsevier, vol. 90(10-11), pages 1825-1849, November.
    3. Jonathan Gruber & Botond Köszegi, 2001. "Is Addiction "Rational"? Theory And Evidence," The Quarterly Journal of Economics, MIT Press, vol. 116(4), pages 1261-1303, November.
    4. Aronsson, Thomas & Lofgren, Karl-Gustaf, 1996. " Social Accounting and Welfare Measurement in a Growth Model with Human Capital," Scandinavian Journal of Economics, Wiley Blackwell, vol. 98(2), pages 185-201, June.
    5. Grossman, Michael, 1972. "On the Concept of Health Capital and the Demand for Health," Journal of Political Economy, University of Chicago Press, vol. 80(2), pages 223-55, March-Apr.
    6. Laibson, David I., 1997. "Golden Eggs and Hyperbolic Discounting," Scholarly Articles 4481499, Harvard University Department of Economics.
    7. Ted O'Donoghue & Matthew Rabin, 2003. "Studying Optimal Paternalism, Illustrated by a Model of Sin Taxes," American Economic Review, American Economic Association, vol. 93(2), pages 186-191, May.
    8. David I. Laibson, 1996. "Hyperbolic Discount Functions, Undersaving, and Savings Policy," NBER Working Papers 5635, National Bureau of Economic Research, Inc.
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