Fiscal Discrimination Between Consumer Groups: Tax Burden Distribution Under Price Discrimination

Arbeitspapier

In this paper it is analysed, how, under price discrimination, the tax burden is shared between the distinct consumer groups. Unit and ad valorem taxes are compared, revealing an impossibility of fiscal discrimination with regard to price changes. Contrary to conventional tax incidence analysis, it is shown that quantities traded do matter. Relative market shares are decisive for the distribution of tax burdens thereby opening up an opportunity for fiscal discrimination in choosing tax types. This discriminatory potential is limited and not caused by price discrimination per se but rather due to monopolistic supply.

Object Details

• ISBN: 978-3-86788-013-8
• Language: Englisch

References and Relationships

• Bibliographic citation: Series: Ruhr Economic Papers ; No. 19

Classification and Topics

• Classification: Wirtschaft ; Taxation and Subsidies: Incidence ; Production, Pricing, and Market Structure; Size Distribution of Firms
• Subject: Tax incidence ; unit tax ; ad valorem tax ; price discrimination ; Umsatzsteuer ; Verbrauchsteuer ; Steuerinzidenz ; Preisdifferenzierung ; Theorie

Contributors, Places and Time

• Event: Geistige Schöpfung
• (who): Plewka, Jörg
• Event: Veröffentlichung
• (who): Rheinisch-Westfälisches Institut für Wirtschaftsforschung (RWI)
• (where): Essen
• (when): 2007

Further information

• Handle: http://hdl.handle.net/10419/26784
• Last update: 10.03.2025, 11:41 AM CET