Economics · Public Finance
A Lindahl tax is a form of taxation where:
Verified Solution4 OptionsUpdated: October 2026👁️1 View
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- 1Individuals pay for public goods according to their average utility.
- 2Individuals pay taxes inversely proportional to their income levels.
- 3Individuals pay for private goods according to their marginal benefits.
- 4Individuals pay for public goods according to their marginal benefits.✓
Correct answer
Individuals pay for public goods according to their marginal benefits.
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