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Ricardo's theory of tax incidence: a comment
*University of Antwerp Belgium
Abstract
In a recent article in this journal, Takuo Dome examined Ricardo's theory of tax incidence by means of a formal model. In this comment, some of Dome's results are sharpened. Dome formulated sufficient conditions, which moreover contained endogenous variables. It is shown that these conditions can be replaced by conditions which are both necessary and sufficient and which contain exogenous variables only.
Manuscript received August 20, 1993; final version received October 2, 1993.