Aufsatz(gedruckt)#11976
DIRECT VERSUS INDIRECT REMEDIES FOR EXTERNALITIES
In: Journal of political economy, Band 84, Heft 4, S. 797-808
ISSN: 0022-3808
THIS PAPER IS CONCERNED WITH TAX POLICIES DESIGNED TO OBTAIN AN IMPROVED COMPETITIVE ALLOCATION IN THE PRESENCE OF CONSUMPTION EXTERNALITIES. IT IS KNOWN THAT THE FULL OPTIMUM CAN, IN GENERAL, BE ATTAINED ONLY THROUGH THE IMPOSITION OF EXCISE TAXES AT DIFFERENT LEVELS FOR DIFFERENT INDIVIDUALS. SINCE THESE MAY BE RULED OUT, ONE IS CONFINED TO CONSIDER SECOND-BEST TAXES.