Open Access. Powered by Scholars. Published by Universities.®
Articles 1 - 2 of 2
Full-Text Articles in Law
Taxation, Craig D. Bell
Taxation, Craig D. Bell
University of Richmond Law Review
This Article reviews significant recent developments in the laws affecting Virginia state and local taxation. Its Parts cover legislative activity, judicial decisions, and selected opinions and other pronouncements from the Virginia Department of Taxation (the “Tax Department” or “Department of Taxation”) and the Attorney General of Virginia over the past year. Part I of this Article addresses state taxes. Part II covers local taxes, including real and tangible personal property taxes, license taxes, and discrete local taxes. The overall purpose of this Article is to provide Virginia tax and general practitioners with a concise overview of the recent developments in …
The Case For Subsidizing Harm: Constrained And Costly Pigouvian Taxation With Multiple Externalities, Daniel Schaffa, Daniel Jaqua
The Case For Subsidizing Harm: Constrained And Costly Pigouvian Taxation With Multiple Externalities, Daniel Schaffa, Daniel Jaqua
Law Faculty Publications
Many activities are subsidized despite generating negative externalities. Examples include needle exchanges and energy production subsidies. We explain this phenomenon by developing a model in which the policymaker faces constraints or costs. We highlight three examples. First, it may be optimal to subsidize a harmful activity if the policymaker cannot set the first-best tax on an externally harmful substitute. Second, it may be optimal to subsidize a harmful production process if the activity mix at lower levels of output uses more harmful activities than the activity mix at higher levels of output. Third, it may be optimal to subsidize a …