Explain why a tax that is levied only on the use of capital by corporations will interfere

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Explain why a tax that is levied only on the use of capital by corporations will interfere with the production efficiency of the economy. (Compare the marginal rates of technical substitution between corporations and unincorporated enterprises.)

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Economics Of The Public Sector

ISBN: 9780393925227

4th Edition

Authors: Joseph E. Stiglitz, Jay K. Rosengard

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