Article Abstract:
A general equilibrium, non-stationary, spatial model of the housing market in a monocentric city is presented. The market has the following features: on the demand side, identical households choose location, housing quality and quantity, and other goods, whereas on the supply side, developers choose the structural density and time path of quality of buildings. By using a restrictive assumption on preferences, existence and uniqueness of equilibrium are proven, and the comparative-static properties of the market are determined.
User Contributions:
Comment about this article or add new information about this topic:
Article Abstract:
Tax evasion negates the tax equivalence principle. In a general equilibrium model of production sectors, factor inputs, specifically labor, shift from the 'reported' to the 'unreported' depending on the level of taxation existing in the production factors. Thus, to lessen evasion, the taxation of firms is preferable to direct labor income taxation when firms' tendency to evade taxes is comparatively small, or if it can be made smaller than that of factor owners by cheaper enforcement.
User Contributions:
Comment about this article or add new information about this topic:
Article Abstract:
The 'single-product' household interactive variable input-output model can accurately estimate the multiplier effects in a joint production economy. However, the substitution behavior of firms cannot be correctly estimated by the model. These results are obtained in a comparative study between the 'multi-product' household interactive variable input-output model and the 'single-product' household interactive variable input-output model.
User Contributions:
Comment about this article or add new information about this topic: