Outsourcing to for-profit producers of social services will enable a local government to achieve a given service quality at lower budgetary cost. In the absence of appropriate cost sharing arrangements between the government and the service provider, outsourcing provides an incentive for...

This paper deals with the consequences of inflation and capital income taxes for the accumulation of wealth in a small open economy with a housing sector. Particular attention is paid to the incentive and intergenerational redistribution effects stemming from the interaction of inflation and...

This paper suggests that the optimal tax system should favour market-produced services which are close substitutes for home-produced services. First, we modify the classical Corlett-Hague rule for optimal commodity taxation by showing that it may be optimal to impose a relatively low tax rate on...