Taxation is one way to deal with a shortcoming in markets, namely externalities [1]. The free market is not a panacea. If left to its own designs it leads to al

Taxation is one way to deal with a shortcoming in markets, namely externalities [1]. The free market is not a panacea. If left to its own designs it leads to all kinds of negative outcomes (such as externalities and monopolies). [1] https://en.wikipedia.org/wiki/Externality https://en.wikipedia.org/wiki/Externality