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How to tax?

If you are a bit hazy on how to levy income and excise taxes – and have not followed recent debates – I recommend this paper by Gregory Mankiw and others.  It is a straightforward presentation of key ideas and is recommended.  I posted earlier on some shockingly revolutionary work of Louis Kaplow that I found most interesting who treats things more formally.  Kaplow’s stuff gets discussed in the Mankiw et al paper.

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