Who Should Pay for Infrastructure?

6 Pages Posted: 27 Mar 2018

See all articles by Richard M. Bird

Richard M. Bird

affiliation not provided to SSRN

Enid Slack

University of Toronto Munk Centre for International Studies

Date Written: March 1, 2018

Abstract

Consumers should pay directly for many services furnished by the public sector, particularly such congestible services as roads or water and sewerage provided to easily identifiable users. However, these goods are often funded or partly subsidized through general taxes. Politicians seldom opt for user charges because of a number of public biases and misunderstandings. This article discusses the efficiency of user charges, the misunderstandings and biases those charges face, and how those obstacles may be overcome.

Keywords: infrastructure, user fees, user charges, general taxation, public investment

JEL Classification: H54, H11, H27

Suggested Citation

Bird, Richard Miller and Slack, Enid, Who Should Pay for Infrastructure? (March 1, 2018). Regulation, Vol. 41, No. 1, Spring 2018, Rotman School of Management Working Paper No. 3147198, Available at SSRN: https://ssrn.com/abstract=3147198

Richard Miller Bird (Contact Author)

affiliation not provided to SSRN

No Address Available

Enid Slack

University of Toronto Munk Centre for International Studies ( email )

Toronto, Ontario
Canada

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