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Preference for Income Taxation with Several Heterogeneous Consumers

Torregrosa, Ramon. J. (2008): Preference for Income Taxation with Several Heterogeneous Consumers.

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Abstract

The dominance of income over commodity taxation for the single consumer case, implies that if the consumer is asked about what tax she would pay to bear a given tax burden, she would choose income taxation. This paper provides a version of this preference for income taxation for the case of several heterogeneous consumers by means of a game where the government allows each consumer to choose between the two tax regimes.

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