Balanced Budget Multiplier with Indirect Taxes Under Imperfect Competition

  1. Torregrosa Montaner, Ramón José
Zeitschrift:
Estudios económicos

ISSN: 0186-7202

Datum der Publikation: 2003

Ausgabe: 18

Nummer: 1

Seiten: 3-13

Art: Artikel

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Andere Publikationen in: Estudios económicos

Zusammenfassung

This paper presents two counter-examples to the Keynesian features attributed to imperfect competition in general equilibrium models. In particular, by considering indirect tax rates, a non possitive and monotonically non-increasing relationship between the magnitude of both the balanced budget and welfare multipliers and market-power is obtained.

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