A note on lindahl taxes when public goods are inputs to household production

This note explores the incidence of benefit taxation when public goods yield utility only indirectly, as inputs to household production. It provides a condition for tax progression in terms of measurable parameters. The result is contrasted with the usually considered case of public goods being ordinary consumption goods, in which the parameters that indicate whether benefit taxation would be progressive are inestimable because of the preference revelation problem.I am grateful to two referees for insisting on clarifications and for providing useful suggestions.