Taxing Sin Goods and Subsidizing Health Care
We study the taxation of sin goods in a two-period, three-good model. Individuals can buy health care to compensate for the damages caused by their earlier sin-good consumption. Individuals are myopic and underestimate the effect of the sinful consumption on health; in their second period, they may...
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| Formato: | Artículo (Article) |
| Lenguaje: | Inglés (English) |
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2012
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| Acceso en línea: | https://repository.urosario.edu.co/handle/10336/23266 https://doi.org/10.1111/j.1467-9442.2011.01666.x |
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ir-10336-232662022-05-02T12:37:20Z Taxing Sin Goods and Subsidizing Health Care Cremer, Helmuth De Donder, Philippe Maldonado, Darío Pestieau, Pierre Behavioral response Consumption behavior Health care Model test Paternal effect Subsidy system Tax system Behavioral economics Dual self versus single self Paternalism We study the taxation of sin goods in a two-period, three-good model. Individuals can buy health care to compensate for the damages caused by their earlier sin-good consumption. Individuals are myopic and underestimate the effect of the sinful consumption on health; in their second period, they may acknowledge their mistake or persist in their error. We characterize and compare the first-best and the (linear) second-best taxes in these different settings. In particular, we examine how the results are affected by the way sin-good consumption and health care interact in health production technology. © 2011 The editors of The Scandinavian Journal of Economics. 2012 2020-05-26T00:00:44Z info:eu-repo/semantics/article info:eu-repo/semantics/publishedVersion 14679442 03470520 https://repository.urosario.edu.co/handle/10336/23266 https://doi.org/10.1111/j.1467-9442.2011.01666.x eng info:eu-repo/semantics/openAccess application/pdf instname:Universidad del Rosario |
| institution |
EdocUR - Universidad del Rosario |
| collection |
DSpace |
| language |
Inglés (English) |
| topic |
Behavioral response Consumption behavior Health care Model test Paternal effect Subsidy system Tax system Behavioral economics Dual self versus single self Paternalism |
| spellingShingle |
Behavioral response Consumption behavior Health care Model test Paternal effect Subsidy system Tax system Behavioral economics Dual self versus single self Paternalism Cremer, Helmuth De Donder, Philippe Maldonado, Darío Pestieau, Pierre Taxing Sin Goods and Subsidizing Health Care |
| description |
We study the taxation of sin goods in a two-period, three-good model. Individuals can buy health care to compensate for the damages caused by their earlier sin-good consumption. Individuals are myopic and underestimate the effect of the sinful consumption on health; in their second period, they may acknowledge their mistake or persist in their error. We characterize and compare the first-best and the (linear) second-best taxes in these different settings. In particular, we examine how the results are affected by the way sin-good consumption and health care interact in health production technology. © 2011 The editors of The Scandinavian Journal of Economics. |
| format |
Artículo (Article) |
| author |
Cremer, Helmuth De Donder, Philippe Maldonado, Darío Pestieau, Pierre |
| author_facet |
Cremer, Helmuth De Donder, Philippe Maldonado, Darío Pestieau, Pierre |
| author_sort |
Cremer, Helmuth |
| title |
Taxing Sin Goods and Subsidizing Health Care |
| title_short |
Taxing Sin Goods and Subsidizing Health Care |
| title_full |
Taxing Sin Goods and Subsidizing Health Care |
| title_fullStr |
Taxing Sin Goods and Subsidizing Health Care |
| title_full_unstemmed |
Taxing Sin Goods and Subsidizing Health Care |
| title_sort |
taxing sin goods and subsidizing health care |
| publishDate |
2012 |
| url |
https://repository.urosario.edu.co/handle/10336/23266 https://doi.org/10.1111/j.1467-9442.2011.01666.x |
| _version_ |
1740172986257768448 |
| score |
12,131701 |