James Mirrlees argued that the schedule of this policy should depend on the ability distribution.Fra
James Mirrlees argued that the schedule of this policy should depend on the ability distribution.Frank Ramsey treated determining this policy as a monopolist setting price based on maximizingsocial welfare, and argued it should be determined by the inverse of the price elasticity of demand.The Barro-Ricardo equivalence theorem shows that given certain assumptions, consumers areindifferent towards issuing public debt and a change in this policy. The cost of (*) negativeexternalities can be internalized if a Pigovian type of these is implemented. The Laffer curve shows thepoint at which this value maximizes government revenue. For 10 points, name this policy that requirespaying governments a certain amount of money, often based on consumption or income.
James Mirrlees argued that the schedule of this policy should depend on the ability distribution.
taxes [or more specific types like income taxes, commodity taxes, etc.]