In the formula for excess burden given in Equation (15.3), the tax is less than one. When

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"In the formula for excess burden given in Equation (15.3), the tax is less than one. When it is squared, the result is smaller, not bigger. Thus, having $t_{2}$ instead of $t$ in the formula makes the tax less important." Comment.

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Public Finance

ISBN: 9780073511283

8th Edition

Authors: Harvey Rosen, Ted Gayer

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Question Posted: Jun 05, 2024 02:04 AM

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In the formula for excess burden given in Equation (15.3), the tax is less than one. When

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Public Finance

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