> [Tax neutrality] would be one that would not impact any person or > group more than any other person or group. I.e., there would be no > redistributive effects from the taxation. > Dan
I don't think that type of neutrality is possible. Suppose there is a poll tax, where everyone pays the same amount, and the funds are used to provide a collective good. Since utility is subjective and differs among persons, the value of the good would differ among the persons. Thus there would be an implicit redistribution from those who don't highly value the good to those who do. Fred Foldvary ===== [EMAIL PROTECTED]
