QED Working Paper Number
1305
We present an aggregate four good model (consumption, investment and two government goods) in which the current flows of one government good are in part pure public intermediate goods. The other public goods has "final" services for house holds. We are interested in a benefit approach to charging for government services that includes government services flowing directly to firms. The legal system is our representative intermediate public good and benefit charges to firms should include part of the maintenance of the legal system.
Keywords
public goods (intermediate)
government charges for firms
cost of the legal system
Working Paper
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