Dreher, Axel (contributor); Krieger, Tim (contributor) - 2007
prices to converge to the same level in all countries according to the “law of
one price.” Despite some remaining obstacles … taxes are not reduced. Often, national governments therefore consider
lowering excise tax rates. Banfi et al. (2005), e … to producer prices, discretionary national tax policy – such as
introducing green taxes on fuel – may still be possible …