Optimal Taxation with Joint Production of Agriculture and Rural Amenities
22 Pages Posted: 1 Jun 2007
There are 2 versions of this paper
Optimal Taxation with Joint Production of Agriculture and Rural Amenities
Number of pages: 22
Posted: 01 Jun 2007
You are currently viewing this paper
Downloads
86
Optimal Taxation with Joint Production of Agriculture and Rural Amenities
CEPR Discussion Paper No. DP6615
Number of pages: 25
Posted: 09 Jun 2008
Downloads
3
Date Written: June 2007
Abstract
We show that, when there is joint production of an agricultural good and rural amenities, the first-best allocation of resources can be implemented with a tax on the agricultural good and some subsidies on the production factors (land and labor). The use of a subsidy on the agricultural good can only be explained by the desire of the policymaker to redistribute income from the consumers to the farmers.
Keywords: joint production, rural amenities
JEL Classification: H21, Q18
Suggested Citation: Suggested Citation
Casamatta, Georges and Rausser, Gordon C. and Simon, Leo K., Optimal Taxation with Joint Production of Agriculture and Rural Amenities (June 2007). Available at SSRN: https://ssrn.com/abstract=990265 or http://dx.doi.org/10.2139/ssrn.990265
Do you have a job opening that you would like to promote on SSRN?
Feedback
Feedback to SSRN