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The Impact of the ‘Braddon Blot’ on Australia’s Tariff Structure, 1901-1910: A Leviathanic Analysis

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  • William Coleman

Abstract

For ten years after the federation of Australian states in 1901, 75 percent of the customs and excise duties collected by the Commonwealth was, by constitutional guarantee, transferred to the States. The paper analyses the impact of this guarantee on tariff rates by modelling the Commonwealth as a revenue maximiser, incentivised by electoral considerations to a spend a certain amount of revenue on the public rather than itself. The model implies that ‘low’ tariff rates would have been made still lower by the guarantee, and ‘high’ rates still higher.

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  • William Coleman, 2020. "The Impact of the ‘Braddon Blot’ on Australia’s Tariff Structure, 1901-1910: A Leviathanic Analysis," CEH Discussion Papers 10, Centre for Economic History, Research School of Economics, Australian National University.
    • Handle: RePEc:auu:hpaper:092
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    File URL: https://cbe.anu.edu.au/researchpapers/CEH/WP202010.pdf
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    1. William Coleman, 2020. "The Revenue Maximising Tariff Rate: A Theoretical Model Applied to 1890s Victoria," CEH Discussion Papers 07, Centre for Economic History, Research School of Economics, Australian National University.
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