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Time, Self-Selection and User Charges for Public Goods

Dan Anderberg (), Fredrik Andersson () and Alessandro Balestrino ()

FinanzArchiv: Public Finance Analysis, 2000, vol. 57, issue 2, 137-

Abstract: Many public goods generate utility only when combined with a time-input. Important examples include road networks and publicly provided leisure facilities. If it is possible to charge for the time spent using the public good it is generally a second-best Pareto optimal policy to do so even in the absence of congestion. An optimal linear user charge is analyzed within a standard optimum income-tax framework. Second-best public good provision in the presence of a user charge is also characterized and factors that influence the direction of optimal distortion of the public good supply are identified.

JEL-codes: H21 H41 (search for similar items in EconPapers)
Date: 2000
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