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Progressivity of burden-sharing in a Lindahl Equilibrium: a unifying criterion

Wolfgang Buchholz () and Dirk Rübbelke ()
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Dirk Rübbelke: TU Bergakademie Freiberg

Authors registered in the RePEc Author Service: Dirk T.G. Rübbelke ()

Economics Bulletin, 2018, vol. 38, issue 4, 1978-1985

Abstract: In this paper, we show that progressivity (regressivity) of burden sharing in a Lindahl equilibrium is a direct consequence of gross complementarity (substitutability) between the private and the public good when the public good is taken as the numéraire. We then link these novel basic conditions to the conditions for progressivity (regressivity) that have been presented in the literature so far.

Keywords: Lindahl equilibrium; progressive (regressive) burden sharing; complements and substitutes (search for similar items in EconPapers)
JEL-codes: H4 D6 (search for similar items in EconPapers)
Date: 2018-10-20
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