Why has the UK corporation tax raised so much revenue?
... measures the proportionate increase in the cost of capital due to taxation. It is calculated by applying the rules of the tax regime to a hypothetical investment project. 10 However, although the EMTR is widely reported in the economics literature, and we also present estimates below, it is not clo ...
... measures the proportionate increase in the cost of capital due to taxation. It is calculated by applying the rules of the tax regime to a hypothetical investment project. 10 However, although the EMTR is widely reported in the economics literature, and we also present estimates below, it is not clo ...
Updating the Discount Rate Used for Benefit-Cost Analysis
... projects expected to return enough not only to justify their delayed gratification but also to pay the required taxes. The Federal Office of Management and Budget takes this approach, identifying its standard rate of 7 percent (in real dollars) as "the marginal pretax rate of return on an average in ...
... projects expected to return enough not only to justify their delayed gratification but also to pay the required taxes. The Federal Office of Management and Budget takes this approach, identifying its standard rate of 7 percent (in real dollars) as "the marginal pretax rate of return on an average in ...
Working H. Summers
... This paper was prepared for the December 28—30, 1983 meeting of the American Economic Association. It draws very heavily on a longer paper. "Tax Policy, The Rate of Return, and Savings," which has been issued as NBER Working Paper 995. The research reported here is part of the NBER's research progra ...
... This paper was prepared for the December 28—30, 1983 meeting of the American Economic Association. It draws very heavily on a longer paper. "Tax Policy, The Rate of Return, and Savings," which has been issued as NBER Working Paper 995. The research reported here is part of the NBER's research progra ...
Lecture Presentation to accompany Investment Analysis
... Sometime, you may have more money than you want to spend, at the other times, you want to buy more than you can afford. Borrow or save to maximalise long-run benefits from you income. When your income exceeds current consumption, people tend to invest income. Trade-off of present consumption for a ...
... Sometime, you may have more money than you want to spend, at the other times, you want to buy more than you can afford. Borrow or save to maximalise long-run benefits from you income. When your income exceeds current consumption, people tend to invest income. Trade-off of present consumption for a ...
Five Strategies for a Rising-Rate Environment
... Below-investment-grade bonds can play a surprisingly helpful role in a portfolio during a period of rising rates, providing high income and the benefits of economic expansion — a double-barreled defense against interest rate risk. This is no guarantee that funds with high yield exposure will outperf ...
... Below-investment-grade bonds can play a surprisingly helpful role in a portfolio during a period of rising rates, providing high income and the benefits of economic expansion — a double-barreled defense against interest rate risk. This is no guarantee that funds with high yield exposure will outperf ...
Document
... Fischer (1983): how optimal inflation tax considerations affect the choice between exchange rate regimes. Végh (1989a): the higher the degree of currency substitution, the higher the optimal inflation tax is for a given level of government spending. Khan and Ramírez-Rojas (1986): Revenue-maximi ...
... Fischer (1983): how optimal inflation tax considerations affect the choice between exchange rate regimes. Végh (1989a): the higher the degree of currency substitution, the higher the optimal inflation tax is for a given level of government spending. Khan and Ramírez-Rojas (1986): Revenue-maximi ...
The case for payroll giving - Policy Advice Division
... employee’s taxable income. PAYE would be levied on the net amount. The employee receives an immediate tax benefit by way of a reduction in the amount of PAYE required to be withheld. The tax value of charitable donations to donors would be determined by the donor’s marginal tax rate. An employee’s s ...
... employee’s taxable income. PAYE would be levied on the net amount. The employee receives an immediate tax benefit by way of a reduction in the amount of PAYE required to be withheld. The tax value of charitable donations to donors would be determined by the donor’s marginal tax rate. An employee’s s ...
Chapter 6 Long-run aspects of fiscal policy and public debt
... in the long run that the government will be unable to find buyers for all the debt. Imagine for example an economy described by the Diamond OLG model. Then the buyers of the debt are the young who place part of their saving in government bonds. But if the stock of these bonds grows at a higher rate ...
... in the long run that the government will be unable to find buyers for all the debt. Imagine for example an economy described by the Diamond OLG model. Then the buyers of the debt are the young who place part of their saving in government bonds. But if the stock of these bonds grows at a higher rate ...
Notes on Population and Growth: From the Malthusian Regime to
... contribution of labor services to a family business or even in looking after parents in their old age. We therefore review the studies that have attempted to determine the extent to which these affect fertility rates and what this implies for population levels and growth. The hypothesis which puts f ...
... contribution of labor services to a family business or even in looking after parents in their old age. We therefore review the studies that have attempted to determine the extent to which these affect fertility rates and what this implies for population levels and growth. The hypothesis which puts f ...
NBER WORKING PAPER SERIES George M. Constantinides
... The term privatization covers a gamut of policy definitions and implications. We use the term to refer to the proposal to invest in the stock market funds that are earmarked for Social Security payments. Currently, the Social Security Trust Fund (hereafter, SSTF) is restricted to invest only in Unit ...
... The term privatization covers a gamut of policy definitions and implications. We use the term to refer to the proposal to invest in the stock market funds that are earmarked for Social Security payments. Currently, the Social Security Trust Fund (hereafter, SSTF) is restricted to invest only in Unit ...
Submission to the Treasury on the exposure draft of amendments to
... A majority of AFs are designed as longer term vehicles and so they adopt a diversified investment approach consistent with portfolio theory to produce long term income growth and these portfolios are influenced by much more than current interest rates as they invest in a combination of fixed interes ...
... A majority of AFs are designed as longer term vehicles and so they adopt a diversified investment approach consistent with portfolio theory to produce long term income growth and these portfolios are influenced by much more than current interest rates as they invest in a combination of fixed interes ...
BM410-08 Theory 1 - Risk and Return 20Sep05
... Using the historical risk premiums as your guide from the chart earlier, what is your estimate of the expected annual HPR on the S&P500 stock portfolio if the current risk-free interest rate is 5.0%. What does the risk premium represent? ...
... Using the historical risk premiums as your guide from the chart earlier, what is your estimate of the expected annual HPR on the S&P500 stock portfolio if the current risk-free interest rate is 5.0%. What does the risk premium represent? ...
investment management of banks
... • When the yield curve slopes upward, as a bond approaches maturity or “rolls down the yield curve”, it is valued at successively lower yields and higher prices. • Using this strategy, a bond is held for a period of time as it appreciates in price and is sold before maturity to realize the gain. As ...
... • When the yield curve slopes upward, as a bond approaches maturity or “rolls down the yield curve”, it is valued at successively lower yields and higher prices. • Using this strategy, a bond is held for a period of time as it appreciates in price and is sold before maturity to realize the gain. As ...
Econ202 Sp14 answers 1 2 3 4 5 6 to midterm exam group B
... Question (5) Consider a small open economy with perfect capital mobility in which consumption expenditures (C) depend positively on disposable income (Y – T) and negatively on the real interest rate (r). The economy is in the long run and has a trade deficit. Suppose that the government begins to s ...
... Question (5) Consider a small open economy with perfect capital mobility in which consumption expenditures (C) depend positively on disposable income (Y – T) and negatively on the real interest rate (r). The economy is in the long run and has a trade deficit. Suppose that the government begins to s ...
Unit 7 Unemployment and inflation Objectives Calculate the
... Solutions to the problem of inflation To reduce inflation, policy makers must decrease the growth in aggregate demand by using restrictive monetary policy measures to decrease the growth rate of the money supply, for instance, by increases in the Repo rate. Restrictive fiscal policy measures such as ...
... Solutions to the problem of inflation To reduce inflation, policy makers must decrease the growth in aggregate demand by using restrictive monetary policy measures to decrease the growth rate of the money supply, for instance, by increases in the Repo rate. Restrictive fiscal policy measures such as ...
ExamView Pro - sgch20
... a. decrease consumption, shown as a movement to the left along a given aggregate demand curve. b. increase consumption, shown as a movement to the right along a given aggregate demand curve. c. decrease consumption, shifting the aggregate demand curve to the left. d. increase consumption, shifting t ...
... a. decrease consumption, shown as a movement to the left along a given aggregate demand curve. b. increase consumption, shown as a movement to the right along a given aggregate demand curve. c. decrease consumption, shifting the aggregate demand curve to the left. d. increase consumption, shifting t ...
unit #9 - orange ws
... measured as the horizontal distance between the supply & demand curves (above / below) the equilibrium price. Shortages are where quantity (supplied / demanded) is greater than quantity (supplied / demanded), and it results from prices being (above / below) the e___________________ p__________. Pric ...
... measured as the horizontal distance between the supply & demand curves (above / below) the equilibrium price. Shortages are where quantity (supplied / demanded) is greater than quantity (supplied / demanded), and it results from prices being (above / below) the e___________________ p__________. Pric ...
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 ...
Problem Set #3: Building and Applying the IS - LM
... a. Identify each of the variables and briefly explain their meaning. – The variable Y represents real output or real income. From Chapter 2, we know that the value of the produced goods and services (real output) has to be equal to the value of the income earned in producing the goods and services ( ...
... a. Identify each of the variables and briefly explain their meaning. – The variable Y represents real output or real income. From Chapter 2, we know that the value of the produced goods and services (real output) has to be equal to the value of the income earned in producing the goods and services ( ...
Martin Feldstein Working Paper No. 680 NBER's project 1050
... Without legislative action or public debate, effective tax rates on capital income of different types have been raised ...
... Without legislative action or public debate, effective tax rates on capital income of different types have been raised ...
Marginal leverage ratio as a monitoring tool of
... principle, this can be done by a ratio combining any two variable from debt, total assets and equity. However, not all such ratios are equaly valid. Effects like wrong framing and denominator neglect indicate that what we are trying to measure, i.e. debt, should appear in the numerator. Furthermore, ...
... principle, this can be done by a ratio combining any two variable from debt, total assets and equity. However, not all such ratios are equaly valid. Effects like wrong framing and denominator neglect indicate that what we are trying to measure, i.e. debt, should appear in the numerator. Furthermore, ...
Bank Runs, Deposit Insurance, and Liquidity Diamond and Dybvig
... For the advanced economies in our sample, real interest rates were negative roughly ½ of the time during 1945-1980. “Financial repression” was most successful in liquidating debts when accompanied by a steady dose of moderate inflation. Average annual interest expense savings as a percent of GDP (FR ...
... For the advanced economies in our sample, real interest rates were negative roughly ½ of the time during 1945-1980. “Financial repression” was most successful in liquidating debts when accompanied by a steady dose of moderate inflation. Average annual interest expense savings as a percent of GDP (FR ...