I don’t think we currently tax positional goods in general. I have only intuitions whether that would happen in worlds where kidney markets are introduced, and those intuitions say “no”.
So if your intuitions say that there would be no taxes on positional goods in a world with kidney markets, doesn’t that make the possibility of taxing positional goods irrelevant? It seems like the effects of those markets should be judged based on the non-taxed case, not the taxed case?
So if your intuitions say that there would be no taxes on positional goods in a world with kidney markets, doesn’t that make the possibility of taxing positional goods irrelevant? It seems like the effects of those markets should be judged based on the non-taxed case, not the taxed case?