Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/189076 
Authors: 
Year of Publication: 
1972
Series/Report no.: 
Queen's Economics Department Working Paper No. 91
Publisher: 
Queen's University, Department of Economics, Kingston (Ontario)
Abstract: 
This paper discusses whether market-achieved city size is greater or less than optimum city size. The divergence between optimum and achieved city size is due to external diseconomies such as pollution. Imposing an optimal tax on pollution may not, as is commonly thought, cause even an initial reduction in output of the polluting good. Moreover, the paper shows, even if output initially falls with optimal taxation, the corresponding reduction in pollution and shift toward consumption of non-polluting goods will make city inhabitants better off. The increased welfare of city inhabitants will result in immigration to the city.
Document Type: 
Working Paper

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