general equilibrium tax incidence
... meals because they are now relatively cheaper than the taxed meals (the substitution effect). 3. Consumers may reduce their consumption of goods or services (such as valet parking services) that are complements to restaurant meals because they are consuming fewer restaurant meals (the complementary ...
... meals because they are now relatively cheaper than the taxed meals (the substitution effect). 3. Consumers may reduce their consumption of goods or services (such as valet parking services) that are complements to restaurant meals because they are consuming fewer restaurant meals (the complementary ...
Taxation in Small States - Commonwealth Parliamentary Association
... tend to be more costly than is the case in larger territories. A joint report by the Commonwealth Secretariat and the World Bank entitled “Small States: Meeting Challenges in the Global Economy” (April 2000) concludes that developing Small States do share a number of characteristics that pose specia ...
... tend to be more costly than is the case in larger territories. A joint report by the Commonwealth Secretariat and the World Bank entitled “Small States: Meeting Challenges in the Global Economy” (April 2000) concludes that developing Small States do share a number of characteristics that pose specia ...
Stein
... • “Left” takes a value of 1 within the 4-year window centered around a transition to the left. • For example, left=1 for Brazil from 2001 to 2004, even before the arrival of Lula in 2003. ...
... • “Left” takes a value of 1 within the 4-year window centered around a transition to the left. • For example, left=1 for Brazil from 2001 to 2004, even before the arrival of Lula in 2003. ...
Gordon Chapter 7_Final_com_Quadros
... As shown above, property and import taxes have not been important in the formation of total revenue of the public sector in Brazil. More specifically, import taxes, which raised 50 percent of the federal government’s revenue in the 1920s, have lost ground since the 1940s and continue to decline. Fr ...
... As shown above, property and import taxes have not been important in the formation of total revenue of the public sector in Brazil. More specifically, import taxes, which raised 50 percent of the federal government’s revenue in the 1920s, have lost ground since the 1940s and continue to decline. Fr ...
Fiscal Policy
... 1. What is the relationship between the budget deficit or surplus and the national debt? 2. Can the national debt rise when the government is running a budget surplus? Solutions to Additional Practice Problems 16.1 1. The budget deficit or surplus shows the government’s budget situation for that yea ...
... 1. What is the relationship between the budget deficit or surplus and the national debt? 2. Can the national debt rise when the government is running a budget surplus? Solutions to Additional Practice Problems 16.1 1. The budget deficit or surplus shows the government’s budget situation for that yea ...
Public Finance Policies and Externalities: A Survey
... encourages capital flight and migration, as well as competitive taxation between jurisdictions. On the international level, the best way to negate the distortionary incentives is by applying a residency-based tax system, in that international taxable income should be taxed in one jurisdiction based ...
... encourages capital flight and migration, as well as competitive taxation between jurisdictions. On the international level, the best way to negate the distortionary incentives is by applying a residency-based tax system, in that international taxable income should be taxed in one jurisdiction based ...
Budget Process and Policy
... Borrowing from the non bank sector: corporations or individuals purchasing government bonds or treasury bills. This may affect the allocation of resources in the economy, as this capital will not then be put to productive uses. During periods of economic downturns, when there is excess liquidity, he ...
... Borrowing from the non bank sector: corporations or individuals purchasing government bonds or treasury bills. This may affect the allocation of resources in the economy, as this capital will not then be put to productive uses. During periods of economic downturns, when there is excess liquidity, he ...
IB ECONOMICS SL
... 33. Draw a diagram to illustrate what happens when a subsidy is introduced for a particular product. Then explain how elasticity of supply and demand will affect the diagram. 34. When, in a market/society, it is impossible to make one person better off without making someone else worse off, the situ ...
... 33. Draw a diagram to illustrate what happens when a subsidy is introduced for a particular product. Then explain how elasticity of supply and demand will affect the diagram. 34. When, in a market/society, it is impossible to make one person better off without making someone else worse off, the situ ...
Transportation Fuels Policy Since the OPEC Embargo: Paved with
... was frequently noted in newspaper articles and op-eds of the time. The embargo led to more discussions about the merits of a gas tax. A November 10 New York Times article reports that the administration was considering a 40-cent gasoline tax ($1.61 in 2011 dollars), with the revenues refunded back ...
... was frequently noted in newspaper articles and op-eds of the time. The embargo led to more discussions about the merits of a gas tax. A November 10 New York Times article reports that the administration was considering a 40-cent gasoline tax ($1.61 in 2011 dollars), with the revenues refunded back ...
Passive Savers and Fiscal Policy Effectiveness in Japan
... Figure 1 plots the estimated impulse response functions. These multiyear effects are the relevant ones for policy analysis. Comparing the left two boxes in the last row of figure 1 shows that both tax cuts and expenditure increases have expansionary effects. The effect of the tax cut on GDP falls o ...
... Figure 1 plots the estimated impulse response functions. These multiyear effects are the relevant ones for policy analysis. Comparing the left two boxes in the last row of figure 1 shows that both tax cuts and expenditure increases have expansionary effects. The effect of the tax cut on GDP falls o ...
Chapter 16: Fiscal Policy - the School of Economics and Finance
... • This resulted in a boost to consumers’ current incomes. Changes to current incomes result in smaller increases in spending than changes to permanent incomes, because people seek to “smooth” their consumption over time. • Economists estimate that consumers spent about 33-40% of the rebates they rec ...
... • This resulted in a boost to consumers’ current incomes. Changes to current incomes result in smaller increases in spending than changes to permanent incomes, because people seek to “smooth” their consumption over time. • Economists estimate that consumers spent about 33-40% of the rebates they rec ...
Chapter 16: Fiscal Policy - the School of Economics and Finance
... • This resulted in a boost to consumers’ current incomes. Changes to current incomes result in smaller increases in spending than changes to permanent incomes, because people seek to “smooth” their consumption over time. • Economists estimate that consumers spent about 33-40% of the rebates they rec ...
... • This resulted in a boost to consumers’ current incomes. Changes to current incomes result in smaller increases in spending than changes to permanent incomes, because people seek to “smooth” their consumption over time. • Economists estimate that consumers spent about 33-40% of the rebates they rec ...
6. Public Finance
... The central government budget balance posted a slight year-on-year deterioration in 2014, yet performed better than the target set in the budget period. This was mainly driven by tax revenues that are not a stable and permanent source of revenues. Tax revenues stood a little above the target, while ...
... The central government budget balance posted a slight year-on-year deterioration in 2014, yet performed better than the target set in the budget period. This was mainly driven by tax revenues that are not a stable and permanent source of revenues. Tax revenues stood a little above the target, while ...
Chapter 7
... Economic Regulation • The government provides the economic rules of the game – This must be done within the social and political context in which the economy operates • The government must allow individuals and business firms to operate with the maximum degree of freedom • There is little agreement ...
... Economic Regulation • The government provides the economic rules of the game – This must be done within the social and political context in which the economy operates • The government must allow individuals and business firms to operate with the maximum degree of freedom • There is little agreement ...
Ch 32
... With $100 billion less of disposable income, consumption expenditure decreases by $100 billion x Marginal propensity to consume. The decrease in consumption expenditure decreases aggregate expenditure and because the tax increase has a multiplier effect that decreases induced expenditure aggregate d ...
... With $100 billion less of disposable income, consumption expenditure decreases by $100 billion x Marginal propensity to consume. The decrease in consumption expenditure decreases aggregate expenditure and because the tax increase has a multiplier effect that decreases induced expenditure aggregate d ...
T The Hidden Hand of Government Spending Tax expenditures distort government budgets
... amount spent on individual tax subsidies, the sum represents roughly 39 percent of 2008 corporate tax receipts ($304 billion) or, if you prefer a somewhat less aberrational year, 32 percent of 2007 corporate tax receipts ($370 billion). Bradford’s joke uses military spending as its example, but very ...
... amount spent on individual tax subsidies, the sum represents roughly 39 percent of 2008 corporate tax receipts ($304 billion) or, if you prefer a somewhat less aberrational year, 32 percent of 2007 corporate tax receipts ($370 billion). Bradford’s joke uses military spending as its example, but very ...
... In the post-independence years, with the gradual abatement of political and economic uncertainty, stimulating and accelerating growth was one of the primary objectives of fiscal policy. In a nascent economy where the income levels and financial savings were low, the fiscal assumed the responsibility ...
El establecimiento de tributos sobre la las emisiones
... benefits, which do not usually have a market value. Nevertheless, if a double dividend exists, it is possible to improve the environmental quality without any cost in terms of non-environmental economic welfare. In this case, it can be argued that the fiscal reform is desirable even without an expli ...
... benefits, which do not usually have a market value. Nevertheless, if a double dividend exists, it is possible to improve the environmental quality without any cost in terms of non-environmental economic welfare. In this case, it can be argued that the fiscal reform is desirable even without an expli ...
PDF
... permanent increases in government revenues from taxation, often called the “displacement effect”. Empirically, the spend-and-tax hypothesis is characterized by unidirectional causality running from government spending to government taxes. Musgrave (1966) as well as Meltzer and Richard (1981) hypoth ...
... permanent increases in government revenues from taxation, often called the “displacement effect”. Empirically, the spend-and-tax hypothesis is characterized by unidirectional causality running from government spending to government taxes. Musgrave (1966) as well as Meltzer and Richard (1981) hypoth ...
IOSR Journal of Economics and Finance (IOSR-JEF)
... rate if it is operating to the left of the revenue maximising rate. Hence, using the Laffer curve, the relationship between corporate tax revenue and the corporate tax revenue is not clear since it depends on the side of the curve. On one side the relationship is negative and positive on the other s ...
... rate if it is operating to the left of the revenue maximising rate. Hence, using the Laffer curve, the relationship between corporate tax revenue and the corporate tax revenue is not clear since it depends on the side of the curve. On one side the relationship is negative and positive on the other s ...
The Economy Tackling Fundamentals – Back to Basics How has the Economy Performed?
... The government will also rely on tax collection efficiencies through enhanced tax administration and change in the mix of borrowing. The minister has the option of financing the budget deficit from both internal and external sources with a focus to reducing domestic borrowing. The budget deficit is ...
... The government will also rely on tax collection efficiencies through enhanced tax administration and change in the mix of borrowing. The minister has the option of financing the budget deficit from both internal and external sources with a focus to reducing domestic borrowing. The budget deficit is ...
Price
... Non-rivalrous consumption: Good or service can be used by one person without detracting from the ability of other to use it Non-excludability: Impossible or impractical to exclude some people from enjoying the benefits of a good service, even if they are unwilling to pay for it ...
... Non-rivalrous consumption: Good or service can be used by one person without detracting from the ability of other to use it Non-excludability: Impossible or impractical to exclude some people from enjoying the benefits of a good service, even if they are unwilling to pay for it ...
CH 13 - Kenston Local Schools
... stimulates the economy. As a result, aggregate demand increases and real GDP grows. Jobs are created, and the unemployment rate falls. © 2013 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. ...
... stimulates the economy. As a result, aggregate demand increases and real GDP grows. Jobs are created, and the unemployment rate falls. © 2013 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. ...
“
... that if investment flows are driven in any way by taxation, it is ‘‘inefficient’’ for the world economy. Ireland is receiving ‘‘too much’’ investment because of its low business taxes, for example. Others argue that tax competition creates distortions in the public sector. Any reduction in governmen ...
... that if investment flows are driven in any way by taxation, it is ‘‘inefficient’’ for the world economy. Ireland is receiving ‘‘too much’’ investment because of its low business taxes, for example. Others argue that tax competition creates distortions in the public sector. Any reduction in governmen ...
Chapter 4 – Revenue Projections
... transactions and stock transactions each takes up around half of this revenue item. As is evident from Chart 4.6, stamp duties as a source of revenue is exceptionally volatile, being affected significantly by the sharp swings in asset markets through the years. For instance, when asset markets plung ...
... transactions and stock transactions each takes up around half of this revenue item. As is evident from Chart 4.6, stamp duties as a source of revenue is exceptionally volatile, being affected significantly by the sharp swings in asset markets through the years. For instance, when asset markets plung ...
Supply-side economics
Supply-side economics is a school of macroeconomics which argues that economic growth can be most effectively created by investing in capital, and by lowering barriers on the production of goods and services. According to supply-side economics, consumers will then benefit from a greater supply of goods and services at lower prices; furthermore, the investment and expansion of businesses will increase the demand for employees and therefore create jobs. Typical policy recommendations of supply-side economists are lower marginal tax rates and less regulation.The term ""supply-side economics"" was thought, for some time, to have been coined by journalist Jude Wanniski in 1975, but according to Robert D. Atkinson's Supply-Side Follies, the term ""supply side"" (""supply-side fiscalists"") was first used by Herbert Stein, a former economic adviser to President Nixon, in 1976, and only later that year was this term repeated by Jude Wanniski. Its use connotes the ideas of economists Robert Mundell and Arthur Laffer. Supply-side economics is likened by critics to ""trickle-down economics,"" a rhetorical term which is not an economic theory.The Laffer curve illustrates a central theory of supply-side economics, that lowering tax rates may have a positive impact on work, output, and employment and generate more government revenue than would otherwise be expected at the lower tax rate due to the tax cut's economic effect. However, the Laffer curve only measures the rate of taxation, not tax incidence, which is a stronger predictor of whether a tax code change is stimulative or dampening. In addition, studies have shown that tax cuts seldom recoup revenue losses and have minimal impact on GDP growth.