The Dual Nature of Public Goods and Congestion: The Role of
... of dichotomy, we derive a set of new results linking …scal policy to an economy’s structural characteristics and its macroeconomic performance, and thereby synthesize two seemingly independent strands of literature on this issue. The following examples might help set this discussion in perspective. ...
... of dichotomy, we derive a set of new results linking …scal policy to an economy’s structural characteristics and its macroeconomic performance, and thereby synthesize two seemingly independent strands of literature on this issue. The following examples might help set this discussion in perspective. ...
Chapter 2 R : T
... significant. While the trend growth (1985-2005) was lowest for debt receipts, a significant acceleration was seen in the last two years. In case of non-debt capital receipts, while the current year growth was negative, it was on a very high base. In absolute terms, non-debt capital receipts in last ...
... significant. While the trend growth (1985-2005) was lowest for debt receipts, a significant acceleration was seen in the last two years. In case of non-debt capital receipts, while the current year growth was negative, it was on a very high base. In absolute terms, non-debt capital receipts in last ...
Modeling the Economic Effects of Past Tax Bills
... One of the most contentious debates in contemporary American politics concerns the relationship between federal tax policy and the U.S. economy. Some policymakers and economists believe that higher tax rates discourage work and investment, and that lowering marginal tax rates on labor and capital wo ...
... One of the most contentious debates in contemporary American politics concerns the relationship between federal tax policy and the U.S. economy. Some policymakers and economists believe that higher tax rates discourage work and investment, and that lowering marginal tax rates on labor and capital wo ...
5 International comparison of Australia’s tax-transfer system
... As a percentage of GDP, tax revenue in Australia is significantly higher than most ASEAN countries, as shown in Chart 5.3. While tax revenue in Brunei Darussalam is around the same as that of Australia as a percentage of GDP, 95 per cent of this comes from oil and gas companies. For many of these co ...
... As a percentage of GDP, tax revenue in Australia is significantly higher than most ASEAN countries, as shown in Chart 5.3. While tax revenue in Brunei Darussalam is around the same as that of Australia as a percentage of GDP, 95 per cent of this comes from oil and gas companies. For many of these co ...
07-08 - Ministry of Finance
... on the other hand, can lead to higher inflation, higher interest rates and crowding out of private investment, all of which can hamper growth and poverty reduction efforts. Economic growth and human development critically depend on accumulation of physical and human capital, which in turn requires a ...
... on the other hand, can lead to higher inflation, higher interest rates and crowding out of private investment, all of which can hamper growth and poverty reduction efforts. Economic growth and human development critically depend on accumulation of physical and human capital, which in turn requires a ...
Public-Debt/Output Guidelines: The Case of Israel
... entire planning horizon, where the smoothened tax rate is set at the only level which satisfies the intertemporal budget constraint. Then, the debt/output ratio remains at the initial level b0 , implying that It = 0 for all t’s. The interesting case in the present context arises when b0 > b. Prior t ...
... entire planning horizon, where the smoothened tax rate is set at the only level which satisfies the intertemporal budget constraint. Then, the debt/output ratio remains at the initial level b0 , implying that It = 0 for all t’s. The interesting case in the present context arises when b0 > b. Prior t ...
Chapter 15 Chapter Outline
... national saving or on aggregate demand • Keynesians think a tax cut is likely to increase consumption and decrease saving, thus increasing aggregate demand ...
... national saving or on aggregate demand • Keynesians think a tax cut is likely to increase consumption and decrease saving, thus increasing aggregate demand ...
Chapter 15
... – There is a lack of flexibility, because much of government spending is committed years in advance – There are long time lags, because the political process takes time to make changes ...
... – There is a lack of flexibility, because much of government spending is committed years in advance – There are long time lags, because the political process takes time to make changes ...
Deficit Reduction and Carbon Taxes
... revenue-neutral reductions in capital taxes (i.e., corporate taxes or personal income rates on interest, dividends, or capital gains), we find that the net social costs, even without considering the environmental benefits, are close to zero: gross domestic product rises slightly, though a more compr ...
... revenue-neutral reductions in capital taxes (i.e., corporate taxes or personal income rates on interest, dividends, or capital gains), we find that the net social costs, even without considering the environmental benefits, are close to zero: gross domestic product rises slightly, though a more compr ...
Fiscal Reform and Government Debt in Japan: A Neoclassical Perspective
... In this paper, we develop a neoclassical growth model that builds on Hayashi and Prescott (2002) and Chen, İmrohoroğlu, and İmrohoroğlu (2006) by incorporating a strong domestic demand for government bonds and explore alternative ways of financing the projected increases in government expenditur ...
... In this paper, we develop a neoclassical growth model that builds on Hayashi and Prescott (2002) and Chen, İmrohoroğlu, and İmrohoroğlu (2006) by incorporating a strong domestic demand for government bonds and explore alternative ways of financing the projected increases in government expenditur ...
RESOURCES: TRENDS AND COMPOSITION
... universal across all major taxes with the exception of service tax. Gross Tax collections witnessed, for the first time, a negative growth of 0.82 per cent in the current year. Tax Buoyancy 2.18 Three major factors that affect tax collections are the tax base, the tax rate and tax compliance, includ ...
... universal across all major taxes with the exception of service tax. Gross Tax collections witnessed, for the first time, a negative growth of 0.82 per cent in the current year. Tax Buoyancy 2.18 Three major factors that affect tax collections are the tax base, the tax rate and tax compliance, includ ...
ZE 05-2012.indd - Open Access Agricultural Journals
... or even earlier. This for example can lead to price increases before the actual introduction of the tax. This effect is called the notification effect of tax. In the case of excise taxes, it is assumed that the entire tax is carried by consumers, or that the tax will be distributed between the consu ...
... or even earlier. This for example can lead to price increases before the actual introduction of the tax. This effect is called the notification effect of tax. In the case of excise taxes, it is assumed that the entire tax is carried by consumers, or that the tax will be distributed between the consu ...
FISCAL TRENDS AND POLICY ISSUES AND IMPLICATIONS FOR THE CARIBBEAN GENERAL LC/CAR/G.771
... financial services, real estate, transportation, medical and dental services. (IMF, 2001; Williams, ...
... financial services, real estate, transportation, medical and dental services. (IMF, 2001; Williams, ...
Tax Systems in the World: An Empirical Investigation into the
... revenue from base B then must involve a higher tax rate and thus larger losses in full income, and for this reason the marginal political cost function for base B shifts upwards, leading to an upward shift of the total marginal political cost function. As shown in the figure by points labeled with a ...
... revenue from base B then must involve a higher tax rate and thus larger losses in full income, and for this reason the marginal political cost function for base B shifts upwards, leading to an upward shift of the total marginal political cost function. As shown in the figure by points labeled with a ...
NBER WORKING PAPER SERIES WINNERS AND LOSERS OF TAX COMPETITION
... flow of mobile factors of production from a high-tax country to a low-tax country directly reduces the tax base in the high tax country, and (c), in general equilibrium, the relocation of mobile factors can lower factor payments to immobile factors and overall factor income in the high tax country, ...
... flow of mobile factors of production from a high-tax country to a low-tax country directly reduces the tax base in the high tax country, and (c), in general equilibrium, the relocation of mobile factors can lower factor payments to immobile factors and overall factor income in the high tax country, ...
CHAPTER III: GROWTH OF RECEIPTS
... ranged between 78 and 82 per cent of the tax revenue. Of the indirect taxes, contribution from union excise duties ranged as high as 67 to 71 per cent. With the process of economic reforms rolled out in early nineties, the dependency on indirect taxes in the late nineties came down to the range of 6 ...
... ranged between 78 and 82 per cent of the tax revenue. Of the indirect taxes, contribution from union excise duties ranged as high as 67 to 71 per cent. With the process of economic reforms rolled out in early nineties, the dependency on indirect taxes in the late nineties came down to the range of 6 ...
NBER WORKING PAPER SERIES TAXATION AND OUTPUT GROWTH: EVIDENCE FROM AFRICAN COUNTRIES
... the "grand traverse" of the U.S. from a low capital intensity to a high capital intensity economy took most of the 19th century (David, l977). A model which allows for the possibility of transition paths seems appropriate for the analysis of developing economies. ...
... the "grand traverse" of the U.S. from a low capital intensity to a high capital intensity economy took most of the 19th century (David, l977). A model which allows for the possibility of transition paths seems appropriate for the analysis of developing economies. ...
Regressive and Loophole-Ridden: Issues with the House GOP
... inherently more regressive than the existing corporate income tax. Passing some portion of the border adjustment tax on to consumers in the form of price increases is the border adjustment tax’s core fairness problem. The reason consumers would likely see price increases is that U.S. companies would ...
... inherently more regressive than the existing corporate income tax. Passing some portion of the border adjustment tax on to consumers in the form of price increases is the border adjustment tax’s core fairness problem. The reason consumers would likely see price increases is that U.S. companies would ...
January 2007 Implications for Fiscal Policy and Cross-Country Differences
... limited tax and debt capacities. We study a non stochastic CRS endogenous growth model where public expenditure is an input in the production process, in countries where distortions and limited enforceability result in limited fiscal capacities, as captured by a maximal effective tax rate. We show h ...
... limited tax and debt capacities. We study a non stochastic CRS endogenous growth model where public expenditure is an input in the production process, in countries where distortions and limited enforceability result in limited fiscal capacities, as captured by a maximal effective tax rate. We show h ...
section 4: case studies
... the current CGT model would not have systematically underestimated revenue over this period. Capital gains tax model improvements As a result of Treasury’s forecasting experience during Mining Boom Mark I, the CGT models have been overhauled. The development has been an ongoing process, with the fir ...
... the current CGT model would not have systematically underestimated revenue over this period. Capital gains tax model improvements As a result of Treasury’s forecasting experience during Mining Boom Mark I, the CGT models have been overhauled. The development has been an ongoing process, with the fir ...
Chapter 2 RESOURCES: TRENDS AND
... 2.13 Indian tax statistics do not generate any data as yet on tax expenditures (revenue forgone in tax exemptions and the like), although these by any reckoning are quite substantial. Total duties forgone under various export promotion schemes alone were estimated to have averaged over 60 per cent o ...
... 2.13 Indian tax statistics do not generate any data as yet on tax expenditures (revenue forgone in tax exemptions and the like), although these by any reckoning are quite substantial. Total duties forgone under various export promotion schemes alone were estimated to have averaged over 60 per cent o ...
NBER WORKING PAPER SERIES IMPLICATIONS FOR FISCAL POLICY AND CROSS-COUNTRY DIFFERENCES
... tax and debt capacities. We study a non stochastic CRS endogenous growth model where public expenditure is an input in the production process, in countries where distortions and limited enforceability result in limited fiscal capacities, as captured by a maximal effective tax rate. We show how persi ...
... tax and debt capacities. We study a non stochastic CRS endogenous growth model where public expenditure is an input in the production process, in countries where distortions and limited enforceability result in limited fiscal capacities, as captured by a maximal effective tax rate. We show how persi ...
The Korean economy and its tax system at a crossroads
... welfare-based one. Good performance in the exporting sector stopped spilling over into other sectors, leading to economic polarization and acute inequality. Being aware of the serious inequality problem, both the conservative and progressive parties put forward “economic democratization” and “welfar ...
... welfare-based one. Good performance in the exporting sector stopped spilling over into other sectors, leading to economic polarization and acute inequality. Being aware of the serious inequality problem, both the conservative and progressive parties put forward “economic democratization” and “welfar ...
Is There a Role for Discretionary Fiscal Policy?
... revenue side, as outlay responses are relatively similar (and not statistically different) during the two halves of the sample period. The responsiveness of revenues to the budget surplus since 1993 is quite consistent with the pattern of major tax legislation, with the tax increase of 1993 occurrin ...
... revenue side, as outlay responses are relatively similar (and not statistically different) during the two halves of the sample period. The responsiveness of revenues to the budget surplus since 1993 is quite consistent with the pattern of major tax legislation, with the tax increase of 1993 occurrin ...
Impact of Inflation on Fiscal Aggregates in Austria
... it significantly raises the public debt ratio. Lower inflation moreover depresses the gains made from both bracket creep and the devaluation of nominally fixed transfers, which is, however, somewhat compensated for by decreasing interest payments. Households, by contrast, benefit from lower inflatio ...
... it significantly raises the public debt ratio. Lower inflation moreover depresses the gains made from both bracket creep and the devaluation of nominally fixed transfers, which is, however, somewhat compensated for by decreasing interest payments. Households, by contrast, benefit from lower inflatio ...
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.