Indirect Taxation is Superfluous under Separability and Taste Homogeneity: A Simple Proof

Guy Laroque

No 2004-23, Working Papers from Center for Research in Economics and Statistics

Abstract: Indirect taxation is of no use when nonlinear income taxation is available in aneconomy where everyone has the same taste for goods: an elementary proof ofthis result, due to Atkinson and Stiglitz (1976), is provided.

Date: 2004
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Journal Article: Indirect taxation is superfluous under separability and taste homogeneity: a simple proof (2005)
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