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Pollution control and optimal taxation

Beckerman, W.; Markandya, A.; (1974) Pollution control and optimal taxation. Journal of Environmental Economics and Management , 1 (1) pp. 43-52. 10.1016/0095-0696(74)90016-3.

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This article attempts to contribute to the analysis of identifying an optimum tax for the generation of pollutants when both anti-bads and bads are included in the utility function. Bads and anti-bads are introduced via a technological tradeoff relationship with substitution allowed. It is shown that in some instances in order to know the optimum tax on polluters it may not be important to know the marginal damage function. A brief analysis is undertaken of the tradeoffs between private actions to reduce the effect of pollutants and collective provisions for pollution control. The analysis further demonstrates that under certain circumstances the appropriate tax on polluters can be calculated from observed defensive behavior on the part of receptors.

Type: Article
Title: Pollution control and optimal taxation
DOI: 10.1016/0095-0696(74)90016-3
Publisher version: http://dx.doi.org/10.1016/0095-0696(74)90016-3
Language: English
UCL classification: UCL > School of Arts and Social Sciences > Faculty of Social and Historical Sciences > Economics
URI: http://discovery.ucl.ac.uk/id/eprint/14148
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