Pigouvian Second Degree Price Discrimination and Taxes in a Monopoly: an Example of Unit Tax Superiority

Francisco Galera (), José Luis à Lvarez () and Isabel Rodríguez-Tejedo ()
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Francisco Galera: School of Economics and Business Administration, University of Navarra
José Luis à Lvarez: School of Economics and Business Administration, University of Navarra
Isabel Rodríguez-Tejedo: School of Economics and Business Administration, University of Navarra
Authors registered in the RePEc Author Service: Isabel Rodriguez-Tejedo ()

No 16/12, Faculty Working Papers from School of Economics and Business Administration, University of Navarra

Abstract: We provide an example of a monopoly with Pigouvian second-degree price discrimination where unit taxes are Pareto superior to ad valorem taxes.

Keywords: Monopoly; Pigouvian price discrimination; unit taxes; ad valorem taxes (search for similar items in EconPapers)
JEL-codes: D42 H21 L12 (search for similar items in EconPapers)
Pages: 10 pages
Date: 2012-10-15
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