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REVENUE MAXIMISING SALES TAXES IN OLIGOPOLISTIC EQUILIBRIUM WHEN COSTS VARY BETWEEN FIRMS
Author(s) -
Clarke Roger
Publication year - 1988
Publication title -
bulletin of economic research
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.227
H-Index - 29
eISSN - 1467-8586
pISSN - 0307-3378
DOI - 10.1111/j.1467-8586.1988.tb00256.x
Subject(s) - oligopoly , revenue , economics , microeconomics , differential (mechanical device) , government revenue , partial equilibrium , government (linguistics) , industrial organization , general equilibrium theory , finance , cournot competition , linguistics , philosophy , engineering , aerospace engineering
This paper considers taxation of firms in oligopolistic equilibrium. It shows that sales taxes which maximise government revenues will be differential and progressive when costs vary between firms.