Rules and levels in the provision of public goods: The role of complementarities between the public good and taxed commodities

被引:14
作者
Chang, MC [1 ]
机构
[1] Natl Cent Univ, Grad Inst Ind Econ, Taipei, Taiwan
[2] Natl Cent Univ, Dept Econ, Taipei, Taiwan
关键词
public final good; second best; complementarity; Ramsey taxation;
D O I
10.1023/A:1008758130054
中图分类号
F [经济];
学科分类号
02 ;
摘要
This paper revisits the question of whether the second-best level of public good provision is lower than the first-best level in a standard model of public good provision with identical consumers. The role played by the complementarities between the public good and the private commodities is clarified. Furthermore, it is shown that the second-best level is indeed below the first-best level if the Hicksian demands for the taxed commodities are independent of the level of public good provision.
引用
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页码:83 / 91
页数:9
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