PRICE-REDUCING TAXATION

Authors
DEMEZA D MALONEY J MYLES GD
Citation
D. Demeza et al., PRICE-REDUCING TAXATION, Economics letters, 47(1), 1995, pp. 77-81
Citations number
7
Categorie Soggetti
Economics
Journal title
Economics letters → ACNP
ISSN journal
01651765
Volume
47
Issue
1
Year of publication
1995
Pages
77 - 81
Database
ISI
SICI code
0165-1765(1995)47:1<77:PT>2.0.ZU;2-6
Abstract
We show that the imposition of an ad valorem tax on a free-entry Courn ot-Nash industry may lower price. The conditions that the cost functio n must satisfy for this to occur are characterised and the issue of mu ltiple equilibria is resolved.