The Public Good Demand Function: Tax Share as a Dependent Variable

U-Jin Jhun and Jang H. Yoo
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U-Jin Jhun: State University of New York at Oswego
Jang H. Yoo: Virginia Commonwealth University

Public Finance Review, 1978, vol. 6, issue 3, 277-286

Abstract: Demand function for public goods has conventionally been specified with the Abstract Walrasian type. In this study, it is argued thatforpublicgoods, demand should be more properly specified with a Marshallian- type function in which tax share is a function of the quantity demanded of public goods. First, theoretical reasoning why the demand function for public goods must be of the Marshallian type is discussed, and the demandfunction of this specification is developed and estimated to evaluate its merits.

Date: 1978
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Persistent link: https://EconPapers.repec.org/RePEc:sae:pubfin:v:6:y:1978:i:3:p:277-286

DOI: 10.1177/109114217800600302

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