Pigouvian Tax and Philosophy
Posted: Tue Apr 16, 2013 5:20 pm
"The government should subsidize agents to induce them to internalize positive externalities but should tax agents to induce them to internalize negative externalities"
What do you think about this treatment of externalities? Can you think of any philosophical problem with the Pigouvian method?
I am trying to discredit this sentence but I have found no way so far (in terms of philosophical aspects)
What do you think about this treatment of externalities? Can you think of any philosophical problem with the Pigouvian method?
I am trying to discredit this sentence but I have found no way so far (in terms of philosophical aspects)