| . |
Agnar Sandmo's
Scholarly Papers
Click on the title of any column to sort the table by that
column. |
|
|
| |
|
|
Aggregate Statistics |
|
Total
Downloads
144 |
Total
Citations
0 |
|
|
|
|
|
1.
|
|
|
Agnar Sandmo
Norwegian School of Economics and Business Administration (NHH)
|
| Posted: |
|
30 Oct 01
|
|
Last Revised:
|
|
01 Sep 04
|
|
144
(58,712)
|
|
|
| |
Abstract:
The marginal cost of public funds is usually seen as a number greater than one, reflecting the efficiency cost of distortionary taxes. But economic intuition suggests that since green taxes are efficiency-enhancing the MCF with such taxes will be less than one. The paper demonstrates that this intuition is not necessarily true, even when a green tax is the sole source of funds. The analysis also considers the MCF with a proportional income tax, given the presence of green taxes. It compares the optimization approach to the MCF with that of a balanced budget reform and shows that they lead to equivalent results.
|
|
|
2.
|
|
|
Agnar Sandmo
Norwegian School of Economics and Business Administration (NHH)
|
| Posted: |
|
03 Mar 98
|
|
Last Revised:
|
|
02 Apr 98
|
|
0
(0)
|
|
|
| |
Abstract:
Discussions of the marginal cost of public funds with distortionary taxation are often cast in the framework of a one-consumer economy, while the main justification of distortionary taxes is that they are needed for redistribution. This paper analyzes the issue in a model with heterogeneous consumers and a linear income tax, focusing on the tradeoff between labor market distortions and the redistribution from high-wage to low-wage workers. In an optimal tax system the MCF will be the same for all sources of funds and under certain assumptions less than one. Without optimality the MCF will in general differ between different sources of finance.
|
|
