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Efficiency enhancing taxation in two-sided markets

Kind, Hans Jarle; Koethenbuerger, Marko; Schjelderup, Guttorm
Working paper
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http://hdl.handle.net/11250/166164
Issue date
2008-01
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  • Working papers (SNF) [808]
Abstract
This paper examines the efficient provision of goods in two-sided markets and characterizes optimal specific and ad-valorem taxes. We show that (i) a monopoly may have too tight output compared to the social optimum; (ii) output may be reduced by imposing negative value-added taxes (subsidy) or positive specific taxes.
Publisher
SNF
Series
Working paper
2008:1

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