Home >> FinanzArchiv: Public Finance Analysis, Volume 62, Number 3

Environmental Policy and Optimal Taxation in a Decentralized Economic Federation

Authors: Aronsson, Thomas; Jonsson, Thomas; Sjögren, Tomas

Source: FinanzArchiv: Public Finance Analysis, Volume 62, Number 3, September 2006 , pp. 437-454(18)

Publisher: Mohr Siebeck

Buy & download fulltext article:

OR

Price: $33.00 plus tax (Refund Policy)

Abstract:

This paper deals with environmental policy in an economic federation, where each national (lower level) government faces a mixed tax problem. We assume that the federal government sets emission targets, which are implemented at the national level. We also assume that the economic federation is decentralized, meaning that the national governments are first movers vis-à-vis the federal government. Our results show that each country uses its policy instruments, at least in part, to influence the emission target. This has several implications: first, the commodity taxes do not satisfy the so-called additivity property often emphasized in earlier literature, and, second, it provides an argument for using distortionary labor income taxation.

Keywords: INCOME AND COMMODITY TAXATION; ECONOMIC FEDERATION; ENVIRONMENTAL POLICY

Document Type: Research article

DOI: http://dx.doi.org/10.1628/001522106X153464

Publication date: 2006-09-01

More about this publication?
  • FinanzArchiv founded in 1884 is one of the world's oldest professional journals in public finance.

    FinanzArchiv publishes original work from all fields of public economics which are of interest to an international readership, e.g. taxation, public debt, public goods, public choice, federalism, market failure, social policy, and the welfare state. Special emphasis is on high-quality theoretical and empirical papers on current policy issues.

    FinanzArchiv is a well-established, internationally oriented journal in the field of public economics, widely read in Europe and all over the world.

    FinanzArchiv is listed in the Social Science Citation Index (SSCI, JCR impact factor 2007 0,296), in Current Contents/Social and Behavioral Sciences, in IDEAS and RePEc (IDEAS/RePEc simple impact factor 2008 1.177), in the Journal of Economic Literature (CD and online), and in the International Bibliography of the Social Sciences.

    FinanzArchiv is a fully peer-reviewed journal committed to a prompt turnaround of submissions. No more than four months should pass between online submission of a manuscript and the editor's decision on acceptance, revision, or rejection.
  • Editorial Board
  • Information for Authors
  • Subscribe to this Title
  • Information for Advertisers
  • Terms & Conditions
  • Beitrage zur Finanzwissenschaft
  • Wirtschaftswissenschaftliches Seminar Ottobeuren
  • Untersuchungen zur Ordnungstheorie und Ordnungspolitik
  • ingentaconnect is not responsible for the content or availability of external websites
Related content
Marked list

Tools

Key

Free Content
Free content
New Content
New content
Open Access Content
Open access content
Subscribed Content
Subscribed content
Free Trial Content
Free trial content

Text size:

A | A | A | A
^ Back to top
Share this item with others: These icons link to social bookmarking sites where readers can share and discover new web pages. print icon Print this page