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摘要
Gugl and Zodrow (Natl Tax J 68:767-802, 2015) derive a general condition for (in)efficient public-input provision under production-tax financing. Their condition is described in terms of log modularity of production technology. This paper shows that in the case of "factor-augmenting" public inputs, the Gugl-Zodrow condition can be characterized in terms of the technical changes caused by public-input provision.
