Optimal Commodity Taxation and Household Consumption Activities

Firouz Gahvari, C. C. Yang

Research output: Contribution to journalArticlepeer-review


This article reexanunes the Ramsey tax problem using Becker's household-production approach. It assumes that market-purchased goods and time are used m fixed but different proportions in generating consumption activities. It derives a generalized version of Atkinson and Stiglitz's findings regarding the relationship between optimal tax rates and the structure of preferences (for consumption activities). It then reexammes their three main results in this regard.

Original languageEnglish (US)
Pages (from-to)479-487
Number of pages9
JournalPublic Finance Review
Issue number4
StatePublished - Oct 1993
Externally publishedYes

ASJC Scopus subject areas

  • Finance
  • Economics and Econometrics
  • Public Administration


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