Intro -- Contents -- Preface -- 1 Introduction -- 2 Conceptual Foundations of the MCF -- 3 The MCF for Commodity Taxes -- 4 The MCFs for Excise Taxes in Thailand and the United Kingdom -- 5 The MCF from Taxing Labor Income -- 6 Applications of the MCF from Taxing Labor Income -- 7 The MCF from...

This chapter elaborates upon the marginal cost of public funds (MCF) - a measure of the cost imposed on the private sector in raising an additional dollar of tax revenue. In this chapter, we provide a basic introduction to the MCF concept, with numerical examples using a simple demand and supply...

Consumption taxes are only rarely assessed for their impact on the economic well-being of individuals. This paper reviews various studies on this issue. It first describes the large differences in the size and structure of these taxes among OECD countries, and then reviews the types of...

In this paper, the authors address the question of how the tax burden in a federation should be distributed across the different jurisdictions so that the social cost of providing government services is minimized. Using optimal tax theory, they derive formulas for the optimal equalization grants...