One vs. Two Instruments for Redistribution: The Case of Public Utility Pricing

Doina Radulescu and Fabian Feger

VfS Annual Conference 2017 (Vienna): Alternative Structures for Money and Banking from Verein für Socialpolitik / German Economic Association

Abstract: We use data on 180,000 households in the Swiss Canton of Bern and the years 2008-2013 to analyse whether one instrument (the income tax) vs. two instruments (income tax and public utility pricing) are adequate for income redistribution. The results of our structural estimation show that under certai assumptions there is a role for redistribution through public good pricing markups and hence with two instruments being adequate for redistribution.

JEL-codes: D12 D31 H21 H22 H24 L51 L94 L98 (search for similar items in EconPapers)
Date: 2017
New Economics Papers: this item is included in nep-eur, nep-pbe and nep-reg
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Persistent link: https://EconPapers.repec.org/RePEc:zbw:vfsc17:168138

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