Bureaucracy, tax system, and economic performance
Publikation: Beiträge in Zeitschriften › Zeitschriftenaufsätze › Forschung › begutachtet
Authors
This paper investigates the consequences for government size, growth and welfare if a selfish bureaucracy provides a congested input. Alternative exogenous tax systems are introduced and numerical analyses are carried out. The welfare optimum is only met under very specific assumptions: proportional congestion, a tax system only consisting of distortionary taxes and a bureaucracy that maximizes the budget's growth rate. Otherwise the relative size of the public sector becomes suboptimally large thus inducing welfare losses. From a welfare economic point of view bureaucratic selfishness is worse than a suboptimal taxing regime that does not (completely) internalize the congestion externalities.
| Originalsprache | Englisch | 
|---|---|
| Zeitschrift | Journal of Public Economic Theory | 
| Jahrgang | 8 | 
| Ausgabenummer | 5 | 
| Seiten (von - bis) | 839-862 | 
| Anzahl der Seiten | 24 | 
| ISSN | 1097-3923 | 
| DOIs | |
| Publikationsstatus | Erschienen - 01.12.2006 | 
- Finanzwesen
 - Volkswirtschaftslehre und Ökonometrie
 - Soziologie und Politikwissenschaften
 
ASJC Scopus Sachgebiete
- Volkswirtschaftslehre
 
