TY  - BOOK
ED  - International Monetary Fund.
TI  - Optimal Intertemporal Taxationon Consumption and the Term Structure of Government Debt
T2  - IMF Working Papers; Working Paper
SN  - 1451942729 :
SN  - 1018-5941
PY  - 1988///
CY  - Washington, D.C.
PB  - International Monetary Fund
KW  - Budget Constraint
KW  - imf
KW  - Equation
KW  - Equations
KW  - Tax Rates
KW  - Taxation
N2  - This paper addresses the time-consistency problem of optimal policy when intertemporal prices are inflexible. For small, open economies facing given world interest rates, it shows that a consumption tax, rather than a tax on wage income, is time-consistent under a variety of circumstances, even including some cases where the optimal tax rate is not constant over time. This result, when it applies, restores the neutrality of the term structure of government debt, and reaffirms the tax-smoothing theory of debt determination
UR  - http://elibrary.imf.org/view/IMF001/14418-9781451942729/14418-9781451942729/14418-9781451942729.xml
UR  - http://www.imfbookstore.org/IMFORG/9781451942729
ER  -