Optimal Commodity Taxation and Household Consumption Activities

Firouz Gahvari and C.C. Yang
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C.C. Yang: Institute of Economics, Academia Sinica

Public Finance Review, 1993, vol. 21, issue 4, 479-487

Abstract: This article reexanunes the Ramsey tax problem using Becker's household-production approach. It assumes that market-purchased goods and time are used m fixed but different proportions in generating consumption activities. It derives a generalized version of Atkinson and Stiglitz's findings regarding the relationship between optimal tax rates and the structure of preferences (for consumption activities). It then reexammes their three main results in this regard.

Date: 1993
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Persistent link: https://EconPapers.repec.org/RePEc:sae:pubfin:v:21:y:1993:i:4:p:479-487

DOI: 10.1177/109114219302100408

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