With non-competitive firms, a turnover tax can dominate the VAT

In an example with monopoly final and intermediate goods firms and substitutable primary and intermediate inputs, it is shown that there exist turnover taxes that yield more revenue than any feasible value-added tax. Second, simultaneously higher welfare, revenue and output are possible with the turnover tax.

MoreLess

Year of publication:	2005
Authors:	Das-Gupta, Arindam
Published in:	Economics Bulletin. - AccessEcon, ISSN 1545-2921. - Vol. 8.2005, 9, p. 1-6
Publisher:	AccessEcon

More details

Extent:	application/pdf
Type of publication:	Article
Language:	English
Classification:	H2 - Taxation, Subsidies, and Revenue ; D4 - Market Structure and Pricing
Source:	RePEc - Research Papers in Economics

Persistent link: https://www.econbiz.de/10005417009