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emissions if and only if they lower the marginal product of dirty energy. The constrained-efficient subsidy equals the marginal … this more optimistic scenario, a clean subsidy generates significantly higher emissions and lower welfare than a tax on …
Persistent link: https://www.econbiz.de/10014440981
emissions if and only if they lower the marginal product of dirty energy. The constrained-efficient subsidy equals the marginal … this more optimistic scenario, a clean subsidy generates significantly higher emissions and lower welfare than a tax on …
Persistent link: https://www.econbiz.de/10014444067
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Government usually tends to have two options. They can either pursue a tax revenue maximizing strategy or a growth maximizing strategy. The two approached do not necessarily go hand in hand. This paper derives and empirically estimates a simple laissez faire optimal taxation model from the...
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