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<p><p>In a second best environment, the optimal policy choice sometimes follows the first best rules. This note lays down the information structure and separability assumptions under which this property holds in a variety of setups.</p></p>

Authors

Guy Laroque

Guy Laroque

Stephane Gauthier
Stéphane Gauthier

Research Associate University of Paris 1 Pantheon-Sorbonne and Paris School of Economics

Stéphane is a Research Associate at our Institute and a Professor of Economics at University of Paris 1 Panthéon-Sorbonne.

Working Paper details

DOI
10.1920/wp.ifs.2008.0807
Publisher
IFS

Suggested citation

Gauthier, S and Laroque, G. (2008). Separability and public finance. London: IFS. Available at: https://ifs.org.uk/publications/separability-and-public-finance (accessed: 19 May 2024).

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