Tax in Kind to Reduce Supply and Increase Income without Government Payments and Marketing Quotas

Earl O. Heady

American Journal of Agricultural Economics, 1971, vol. 53, issue 3, 441-447

Abstract: Theoretically, a tax in kind can be used to reduce supply and increase net farm income. Applied through a share payment to government, private marginal costs are increased and supply is decreased. The government also has a food fund to be used for aid or similar purposes. The mechanism requires neither government payments nor compulsory market quotas to lessen supply. However, compulsory sharing is necessary to prevent "free riders." Variants of the mechanism would include a gross sales tax collected in conjunction with income taxes. The mechanism provides a policy alternative with interesting potentials in income distribution.

Date: 1971
References: Add references at CitEc
Citations: View citations in EconPapers (1)

Downloads: (external link)
http://hdl.handle.net/10.2307/1238221 (application/pdf)
Access to full text is restricted to subscribers.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:oup:ajagec:v:53:y:1971:i:3:p:441-447.

Access Statistics for this article

American Journal of Agricultural Economics is currently edited by Madhu Khanna, Brian E. Roe, James Vercammen and JunJie Wu

More articles in American Journal of Agricultural Economics from Agricultural and Applied Economics Association Contact information at EDIRC.
Bibliographic data for series maintained by Oxford University Press ().