nep-pbe New Economics Papers
on Public Economics
Issue of 2014‒11‒12
five papers chosen by
Keunjae Lee
Pusan National University

  1. A Comparative Analysis of Tax Administration in Asia and the Pacific By Asian Development Bank (ADB); ; ;
  2. A weighted location differential tax method in environmental problems By Halkos, George; Kitsou, Dimitra
  3. Common-pool Resources, Ecotourism and Sustainable Development By Deng-Shing Huang; Yo-Yi Huang
  4. On the interrelation between carbon offsetting and other voluntary climate protection activities: Theory and empirical evidence By Andreas Lange; Claudia Schwirplies; Andreas Ziegler
  5. The Influence of Transparency on Investments in Climate Protecting - An Economic Experiment By Elmar A. Janssen

  1. By: Asian Development Bank (ADB); (Regional and Sustainable Development Department, ADB); ;
    Abstract: A robust and sustainable tax system requires good tax administration. This report compares the administrative frameworks, functions, and performances of tax administration bodies in 22 jurisdictions in Asia and the Pacific. The descriptive analysis is based on surveys of tax administration conducted in 2012 and 2013. The surveys attempt to provide internationally comparable data on aspects of the sample jurisdictions’ tax systems and their administration. Tentative conclusions emerge from the descriptive and comparative analysis.
    Keywords: tax system, tax administration, tax revenue, tax collection, nontax function, taxpayer, tax administration expenditure, tax expenditure, Electronic Tax Filing Systems, Electronic Tax Payment, Tax Debt Management, Administrative Review System, Gross Domestic Product, Internal Revenue Commission, taxation, fiscal resources, revenue bodies
    Date: 2014–04
  2. By: Halkos, George; Kitsou, Dimitra
    Abstract: Relying on Pigou's view, environmental taxes increase the costs of polluting activities reflecting in this way the true social cost imposed to society by the caused environmental damage by these activities. The total pollution cost (TPC) is defined by adding up the marginal abatement (MAC) and the marginal damage (MD) costs. That is the random variable TPC includes the social costs associated with pollution. We relate this with contaminated locations and propose a weighted location differentiated tax and a corresponding index that adjusts taxation to the damages caused. It is clear that the value of the expected total pollution (social) cost, E(TPC), would be of interest and therefore we proceed to the evaluation through the use of the γ-order Generalized Normal. The value of the variance, Var(TPC), is also evaluated and we provide a generalized form of the E(TPC) as far (i) the form of TPC and (ii) the probability density function.
    Keywords: Weighted-location adjusted differential tax; pollution related social cost; expected value; technology; probability density function.
    JEL: C02 C60 Q50 Q53 Q58
    Date: 2014–10–26
  3. By: Deng-Shing Huang (Institute of Economics, Academia Sinica, Taipei, Taiwan); Yo-Yi Huang (Institute of Applied Economics, National Taiwan Ocean University, Taiwan)
    Abstract: This paper establishes an ecotourism model to analyze the role of local residents and government in achieving sustainable development. By incorporating into the model the properties of common-pool resources to which the tourism activities are linked, we prove that ecotourism cannot guarantee sustainable development for a rural area unless it is accompanied by suitable policies to reduce firms numbers and/or a tourist tax. More specifically, we find two stable equilibra: one characterized by low or even a zero level of natural resources, and the other a high level. In the low equilibrium, extinction or zero stock of natural resources occurs under open access to zero transport cost and marginal environmental maintenance cost. The high equilibrium corresponds to higher social welfare, and that can be assured by policies of a tourist tax, license fee, limiting the number of firms and restriction on the population of potential tourists. More importantly, we prove that although the high equilibrium is better than low equilibrium, it may not be optimal. The optimum welfare can only be achieved by a direct tax on tourists, not solely by policies controlling the number of firms. JEL Classification-JEL: Q01, Q57, L83
    Keywords: Ecotourism, Common-pool Resources, Sustainable Development, Tragedy of Commons
    Date: 2014–10
  4. By: Andreas Lange (University of Hamburg); Claudia Schwirplies (University of Kassel); Andreas Ziegler (University of Kassel)
    Abstract: This paper provides theoretical and empirical insights on the extent to which the availability of carbon offsetting may substitute the individual use of other carbon-reducing measures. Theoretically, we demonstrate an ambiguous impact of offsetting on the use of other measures and derive conditions under which both are substitutes or complements. We then empirically test our predictions using data from representative surveys among more than 2000 citizens in Germany and the U.S. Considering seven measures that can be taken by individuals to direct-ly reduce greenhouse gas emissions, our empirical evidence is consistent with the theoretical predictions that substitution occurs particularly if individuals lay a sufficiently large weight on environmental preference or if offsetting is perceived to be relatively effective in providing the public good climate protection. Complementary effects are shown to exist for a perceived intermediate effectiveness of offsetting activities.
    Keywords: On the interrelation between carbon offsetting and other voluntary climate protection activities: Theory and empirical evidence
    JEL: C25 Q54 Q58
    Date: 2014
  5. By: Elmar A. Janssen (University of Paderborn)
    Abstract: Climate change is one of the biggest problems humankind is currently facing. Therefore, there have recently been a rising number of studies which analyze the economic components of climate change. Especially experimental economics offer a promising way to circumvent the missing data problem and the lack of control in the field. The present study experimentally analyzes the influence of transparency on investments in climate protection using a collective-risk social dilemma framework. The results are as follows: There is a positive influence of transparency on investments in climate change, but it turns out to be not significant. However, the results of the present study taken together with the results of former studies using the same framework indicate that information saliency regarding climate change and climate protection have a huge promoting influence on investments in climate protection and therefore could be a part of the solution of the climate change problem.
    Keywords: climate change, emission reduction, public goods game, transparency, economic experiment
    JEL: Q54 H41 D03
    Date: 2014–07

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