Price theory has provided solutions to myriad problems affecting society without invoking any precepts beyond those encapsulated in the standard economic postulate. Fiscal theory, meanwhile, has been closely attentive to the political, sociological and historical circumstances that bear upon the fiscal act. This methodological duality has resulted in the development of fiscal theory in line with the political culture espoused by its originator, usually the one prevailing at home. Thus emerges the need for an analysis of the evolution of fiscal thought along national lines.


Contents
List of Figures ix
Acknowledgments x
1 Introduction 1
2 A National Taxonomy of Fiscal Doctrines 16
3 British Fiscal Doctrine: The Sacrifice View 26
The organic beginnings of British fiscal theory 27
Bentham and the rise of utilitarianism 30
The origin of the sacrifice view of taxation 35
Mill and the proper bases of social policy 37
Chadwick and economic efficiency of social policy 39
Henry Sidgwick: the great synthesizer 40
The first principles of British fiscal theory 43
Edgeworth and the problem of vertical equity 44
Marshall: the link between Sidgwick and Pigou 47
Pigou: the welfare view of the public economy 49
4 Italian Fiscal Doctrine: The Benefit View 56
General characteristics of classical Italian fiscal theory 59
Pantaleoni and the “Rational” fiscal authority 62
De Viti de Marco and the “Sentient” fiscal authority 65
De Viti’s model of the political market 68
The fiscal decision-making process 70
The coercive element in Italian fiscal doctrine 73
More on De Viti’s view of the public economy 75
De Viti de Marco: a precursor to the modern
theory of public goods 76
Ugo Mazzola and the “Efficient” public economy 78
The Italian concept of ruling class 84
Appendix 86
5 German Fiscal Doctrine: The Organic View 88
The French beginnings of German theory of State 88
Internalization of the ideas of the Philosophes 91
The German theory of the public sector 92

Wagner and his theory of communal economy 94
General characteristics of German fiscal doctrine 98
6 Austrian Fiscal Doctrine: The Subjective Valuation
Approach 100
Menger: the father of Austrian theory of
subjective valuation 101
Wieser: a worthy disciple of Menger’s 102
Emil Sax’s contribution to the Austrian theory of the public
economy 110
7 Swedish Fiscal Doctrine: The Collective Choice
Approach 117
Wicksell: towards a just theory of taxation 118
The political parameters of Wicksell’s theory of the
public economy 121
Lindahl: the principle of unanimity revisited 125
Is it indeed possible to attain justice in taxation? 131
8 Epilogue 134
A Synopsis of General Characteristics of
National Fiscal Doctrines 138
British fiscal doctrine – sacrifice view 139
Italian fiscal doctrine – benefit view 140
German fiscal doctrine – organic view 142
Austrian fiscal doctrine – subjective value approach 144
Swedish fiscal doctrine – collective choice approach 146
Notes 148
References 168
Index of Authors 179