LT 7 - Commodity Taxation Flashcards
1
Q
Reasons of imposing commodity taxes
A
2
Q
Deadweight loss of taxation
A
3
Q
**Marginal deadweight loss of commodity taxation
A
4
Q
Marginal deadweight loss
Define demand elasticity
A
5
Q
Ramsey optimal tax model
A
6
Q
Assumptions of ramsey tax model
A
7
Q
**The ramsey problem
A
8
Q
**The Ramsey Rule
A
9
Q
**The inverse elasticity rule
A
10
Q
Uniform vs differentiated tax
A
11
Q
Issues with differentiated taxation
A
12
Q
Alternative reasons for differentiation
A
13
Q
Ramsey model with equity concerns
A
14
Q
Ramsey model: equity-efficiency trade off
A
15
Q
How does Pigouvian tax correct externalities?
A
16
Q
Internalities
A
