Arbeitspapier

On the Generalised Anti-inverse Elasticity Rule: An Existence Result

We consider an optimal commodity taxation problem under a consumption target and prove the existence of an optimal solution for the problem. This optimal solution obeys taxation rules that are contrary to standard taxation rules such as the inverse-elasticity rule. We also verify the necessary and sufficient condition for the optimal solution to exhibit uniform pricing.

Language
Englisch

Bibliographic citation
Series: CESifo Working Paper ; No. 7041

Classification
Wirtschaft
Taxation and Subsidies: Efficiency; Optimal Taxation
Subject
anti-inverse elasticity rule
consumption target
existence of an optimal solution
optimal commodity taxation
uniform pricing

Event
Geistige Schöpfung
(who)
Minagawa, Junichi
Upmann, Thorsten
Event
Veröffentlichung
(who)
Center for Economic Studies and ifo Institute (CESifo)
(where)
Munich
(when)
2018

Handle
Last update
10.03.2025, 11:42 AM CET

Data provider

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Object type

  • Arbeitspapier

Associated

  • Minagawa, Junichi
  • Upmann, Thorsten
  • Center for Economic Studies and ifo Institute (CESifo)

Time of origin

  • 2018

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