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) 5gmirg) 8E/Exmsr

1. This document discusses the concepts of taxation including incidence, equity, and efficiency of taxes. It presents graphs showing relationships between regular supply and demand, producer surplus, consumer surplus, and tax revenue. 2. Key results are that average deadweight loss of taxes is higher than marginal deadweight loss of taxes, and that marginal deadweight loss of taxes is equal across all revenue sources. 3. Broader policy conclusions are that pre-existing distortions make marginal deadweight loss higher, and that taxes should be constant over time rather than at a constant rate.

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Adam Renfro
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47 views

) 5gmirg) 8E/Exmsr

1. This document discusses the concepts of taxation including incidence, equity, and efficiency of taxes. It presents graphs showing relationships between regular supply and demand, producer surplus, consumer surplus, and tax revenue. 2. Key results are that average deadweight loss of taxes is higher than marginal deadweight loss of taxes, and that marginal deadweight loss of taxes is equal across all revenue sources. 3. Broader policy conclusions are that pre-existing distortions make marginal deadweight loss higher, and that taxes should be constant over time rather than at a constant rate.

Uploaded by

Adam Renfro
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PDF, TXT or read online on Scribd
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