scope of inefficient migration. This positive welfare effect may significantly reduce abatement costs of pollution and calls … for higher environmental tax, as compared with a model where migration is assumed away. …

federation, we show that vertical fiscal externalities can be the major determinant of the welfare change following environmental … externalities - state governments can reduce greenhouse gas emissions by over 20 percent without any net cost to themselves. …

We propose a theory of tax centralization and inter governmental grants in politico-economic equilibrium. The cost of … traditional, expenditure-related motives for centralization considered in the fiscal federalism literature is present. If central … the local level. This renders the degree of tax centralization and the tax burden determinate even if none of the …

standards are derived. -- Fiscal federalism ; minimum standards ; tax autonomy ; fiscal equalization …

-off. -- Fiscal federalism ; policy centralization ; political economy …This paper analyzes the relationship between the size of an economic union and the degree of policy centralization. We … consider a political economy setting in which elected representatives bargain about the degree of centralization within the …

This paper analyzes the impact of fiscal federalism on income inequality and redistribution. Theoretically …

. Building on insights provided by the “second generation” wave of research on fiscal federalism, this paper proposes a unified … policies will reflect regional preferences, thereby boosting individual productive effort incentives. This theory may explain …

We develop a theory of cross-border income shifting in response to subnational personal taxation in a federation and …. We discuss the implications for optimal federalism. …