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Pigovian taxes are good economics but dubious politics for this exact reason. If you rely on them for revenue, you don’t want to actually disincentivize the beh
by philwelch 5y ago
Pigovian taxes are good economics but dubious politics for this exact reason. If you rely on them for revenue, you don’t want to actually disincentivize the behavior they’re intended to disincentivize so you keep the tax artificially low.