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Discussion of the Paper by Professor Bénard

In: Planning and Market Relations

Author

Listed:
  • Michael Kaser

    (St Antony’s College)

  • Richard Portes

    (Princeton University)

Abstract

Professor Dorfman said that Professor Bénard had raised two basic questions: First, what were the grounds for subsidising or penalising the consumption of certain goods, and to what extent should we do so? That was the problem of model A. Second, why did the government sometimes provide or subsidise goods that were also available through private sources, and to what extent should this be done? That was the topic of model B. Professor Bénard accepted the three conventional justifications for taxes or subsidies on certain goods — externalities, public goods and redistribution. His models, however, were built around a fourth point, the need to correct for deficient information on the part of consumers. Professor Dorfman wished to question this argument, while adding a fifth.

Suggested Citation

  • Michael Kaser & Richard Portes, 1971. "Discussion of the Paper by Professor Bénard," International Economic Association Series, in: Michael Kaser & Richard Portes (ed.), Planning and Market Relations, pages 249-253, Palgrave Macmillan.
    • Handle: RePEc:pal:intecp:978-1-349-15410-4_21
    DOI: 10.1007/978-1-349-15410-4_21
    as

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