Antoniou, Fabio; Strausz, Roland - CESifo - 2014
—taxation on polluters, feed-in tariffs for clean entrants, and taxation of consumption—cannot correct these two market failures …. Feed-in tariffs and consumption taxes are ineffective instruments for implementing the first best. The second best requires … feed-in tariffs or consumption taxes. For a given level of production, the instruments are ineffective in influencing the …