Problems of Financing Public Goods
21 Pages Posted: 14 Feb 2011 Last revised: 31 Jan 2014
Date Written: February 1, 2011
Abstract
Wicksell advocates unanimous consent for providing public goods. This paper reviews some existing works to fulfill Wicksell’s dream and proves that they are all ineffective. It then develops a model to solve for both the tax rate and the contribution simultaneously. It further proves that such solution, if any, is pure luck. The Wicksellian theory of direct government intervention is infeasible.
Keywords: Public goods, Free rider, Quid pro quo
JEL Classification: H41, H21
Suggested Citation: Suggested Citation
Choi, Hak, Problems of Financing Public Goods (February 1, 2011). Available at SSRN: https://ssrn.com/abstract=1759959 or http://dx.doi.org/10.2139/ssrn.1759959
Do you have negative results from your research you’d like to share?
Feedback
Feedback to SSRN
If you need immediate assistance, call 877-SSRNHelp (877 777 6435) in the United States, or +1 212 448 2500 outside of the United States, 8:30AM to 6:00PM U.S. Eastern, Monday - Friday.