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Revenue-Recycling and the Efficiency and Spatial Distributional Impacts of Development Taxes AgEcon
Bento, Antonio M.; Franco, Sofia F.; Kaffine, Daniel T..
Recent studies that compare the efficiency and distributional impacts of alternative instruments to curb sprawl typically ignore what to do with the revenues from anti-sprawl policies, such as development taxes. This paper extends first-best analysis of development taxes aimed at preserving land at the urban fringe to account for interactions with other distortions within the urban system. By incorporating urban decline at the city core, which in turn, generates negative neighborhood spillover effects and extra pressure for development at the urban fringe, we provide a more complete framework to evaluate the efficiency and distributional impacts of development taxes. We consider three potential alternative schemes to recycle the revenues: lump sum...
Tipo: Working or Discussion Paper Palavras-chave: Urban Sprawl; Revenue-Recycling; Regional Coordination; Spatial Modeling; Environmental Economics and Policy; Land Economics/Use; Resource /Energy Economics and Policy; Q31; R14; R38.
Ano: 2008 URL: http://purl.umn.edu/51104
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Welfare Effects of Anti-Sprawl Policies in the Presence of Urban Decline AgEcon
Bento, Antonio M.; Franco, Sofia F.; Kaffine, Daniel T..
This paper extends first-best analysis of anti-sprawl policies, such as development taxes, and examines the welfare effects of development taxes in the presence of urban decline at the city core. We find that anti-sprawl policies generate several important feedbacks within the urban system, generating additional welfare gains and affecting the level of urban decline and suburban sprawl. Further, the optimal development tax exceeds the (first-best) Pigouvian level, irrespective of whether or not revenues are returned lump-sum to all landowners or earmarked for urban decline mitigation.
Tipo: Article Palavras-chave: Urban sprawl; Development taxes; Second-best policies; Spatial modeling; Land Economics/Use.
Ano: 2011 URL: http://purl.umn.edu/120272
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