English, Article, Journal or magazine article edition: Provisión eficiente de inversión pública financiada con impuestos distorsionantes José Manuel González-Páramo; Diego Martínez López

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Physical Description
  • preprint
Language
  • English

Edition details

Title
  • Provisión eficiente de inversión pública financiada con impuestos distorsionantes
Author
  • José Manuel González-Páramo
  • Diego Martínez López
Physical Description
  • preprint
Notes
  • In this paper we provide a simple general equilibrium model with public investment and distorting taxes. First, we obtain the optimality conditions for public investment provision under different tax systems. Also we discuss whether tax revenue is increased by the complementary between productive public spending and taxed goods, ceteris paribus. Second, a more restrictive framework for government is presented: tax rates are fixed ex ante. This case is simulated numerically and we find some interesting consequences on public investment levels, total and marginal cost of public funds and tax revenue.
  • Infrastructures, taxes, efficiency, social welfare.
  • RePEc:cea:doctra:e2002_08
Language
  • English
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