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The first article of Hotellinga it seemed that Lerner has paid its attention to this
The moment. In discussion with Frisch, arisen after the first publication, Hotelling
Says that "the usual surtax is a version of the excise tax on
Diligence and on expectation, the same as and on others rather less worthy
Ways of pumping out of the income. The surtax is bad that it influences on
Choice between work and leisure, just as on a choice between immediate and
The postponed consumption. Therefore the surtax is accompanied by the same kinds
Damage, as to actually excise taxes. Gravity of a damage can be estimated
Only on the basis of concrete researches; but there are bases to believe that in
This relation the surtax surpasses excises on separate subjects
Consumption "p. 154 - 155, Hotelling, Relation of Prices. I would add that
The surtax also influences a choice between job on itself, August 1941, n. s.
8, Economic Incentive in Wartime//Economica, as a result the surtax disseminates some of advantages
Specialisations (Paish F. W., hiring
The worker, p. 244). and it 31 Hotelling in any way does not prove opinion,
That in this respect surtaxes will be less harmful, than excises. Can
To be, so it and is but before to address to a policy
- - Lernera, it is desirable to know, what circumstances, at which
Surtaxes are not so harmful, and as they can be found out - as this
The policy will move to growth of surtaxes. Capital Oxford: Clarendon Press, It seems, p. 41., for example: Joseph M. F. W., 1939, June 1939, Value, this problem
Have seen in the theory of public finances. Usual understanding of burden
Indirect taxes assumes that alternative is total payment
(lump sum payment). See, The Excess Burden of
Indirect Taxation//Review of Economic Studies 6 and p. 226 - 231. See
Also: Hicks J. R.
- tries to avoid this difficulty by means of the assumption that
"Public revenues, switching on that be required for support of branches,
The prices for which production will be established at level of limiting costs,
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