Tax incidence under imperfect competition: Comment

Delipalla and O'Donnell (2001) contains a formula for the incidence of specific and ad valorem taxes in a conjectural variation oligopoly model with potentially asymmetric firms. The formula is incorrect. We derive the correct formula and provide a discussion of the error and its implications for empirical studies of pass-through.

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Year of publication:	2012
Authors:	Reny, Philip J. ; Wilkie, Simon J. ; Williams, Michael A.
Published in:	International Journal of Industrial Organization. - Elsevier, ISSN 0167-7187. - Vol. 30.2012, 5, p. 399-402
Publisher:	Elsevier
Subject:	Tax incidence \| Market power \| Conjectural variations \| Conduct parameter

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Type of publication:	Article
Classification:	H22 - Incidence ; L13 - Oligopoly and Other Imperfect Markets
Source:	RePEc - Research Papers in Economics

Persistent link: https://www.econbiz.de/10010688295