Search

Supply chain carbon abatement is an important way to promote low-carbon transformation of the social economy and address global climate change. This paper analyzes the issue of supply chain carbon abatement under different power structures, as well as the effect of consumers' low-carbon preference and carbon tax rate on the optimal decisions. This paper constructs five different models, namely ML-NO model, ML-CS model, RL-NO model, RL-CS model and VI model. The research finds that VI model is the most ideal model for promoting supply chain carbon abatement. The optimal abatement efforts, market demand, and total profits in the VI model are all the largest among the five models. Whether the supply chain leader is the manufacturer or the retailer, cost sharing contract can enhance optimal abatement efforts, market demand, and profits of both parties. In any model, the leader in Supply chain earns higher profits than the follower. When consumers' low-carbon preference increases, the optimal abatement efforts, market demand, and profits of both parties will all increase, and the growth rate is gradually accelerating. For the manufacturer with high carbon emissions, when the carbon tax rate increases, the optimal abatement efforts first increase and then decrease. For the manufacturer with low carbon emissions, when the carbon tax rate increases, the optimal abatement efforts will also increase. [ABSTRACT FROM AUTHOR]

How does emigration affect tax preferences in migrant-sending countries? Experiencing public services in a high tax-capacity destination may reduce support for tax increases by throwing fiscal failure at home into stark relief (the socialization hypothesis). Alternatively, migrants' exclusion from certain public services may increase desire to fund these services in migrant origin countries (the exclusion hypothesis). We test these competing hypotheses with an online survey experiment in Mexico and explore variation in US healthcare access on fiscal policy preferences of migrant households. Migrant households, especially those with returned migrant members, are more supportive of taxation when tax revenue is earmarked for healthcare, a service to which many Mexican immigrants in the US lack access. It is migrants' exclusion from, rather than their socialization into, the fiscal contract in destination countries that influences fiscal policy preferences in their countries of origin. [ABSTRACT FROM AUTHOR]

Regressive taxation plays an increasingly important role in financing public programs, but prior studies have not fully explored the conditions under which citizens would support such financing strategies. This paper fills this gap by focusing on the United States, where sales taxes account for nearly one-third of state government revenue, and sales tax ballot measures have received majority support. I conducted an online survey experiment to examine two potential sources of public support for a sales tax increase: equal treatment beliefs (i.e., that all taxpayers should pay the same rate) and a lack of public awareness of the distributive consequences of sales taxes. I find that exposure to information about sales taxes' distributive consequences significantly reduced respondents' support for a sales tax increase, but that equal treatment beliefs had no significant effect on such support. Additional analyses suggest that other-regarding motivations are a plausible mechanism underlying the effects of information provision. These findings shed light on how misperceptions of tax burdens shape support for regressive taxation and have broad implications for how fairness beliefs influence tax policy preferences. [ABSTRACT FROM AUTHOR]

The construction of ecological civilization has put forward new requirements for the market-oriented reform of ecological products, and pricing is the most effective mechanism for marketization. This paper actively expands on the definition of ecological products and considers two game models to compare different consumption preferences and tax/subsidy policies. The results show that, under a static game, ecological products pose a disadvantage, which can lead to negative profits. In a dynamic game, an ecological firm can obtain higher profits by virtue of the positive externalities of its products. Changes in subsidies and taxes can achieve the expected effect of policies, which may reduce the price of ecological products and thus improve competitiveness. Meanwhile, we found that tax policy regulation plays a more significant role than a supporting subsidy, but the ecological degree effect may be the opposite under extreme conditions. This research provides theoretical guidance for promoting the use of ecological products for environmental improvement. [ABSTRACT FROM AUTHOR]

This study revisits how local fiscal policies, specifically taxing and expenditures, affect economic growth. Using a panel (1990–2020) of Wisconsin general-purpose governments, we estimate a fixed effects variable parameter model and find that taxes have a dampening effect on the growth rate in income prior to the Great Recession but a positive effect over recent years. We also find that the impact of taxes on growth varies across community income levels. For lower income places taxes have a dampening effect on growth, but a positive effect in higher income areas. The results suggest that the impact of fiscal policies on economic growth vary over time and income levels. As such, blanket statements that high taxes harm the business climate and hence economic growth are generally not supported by the research. [ABSTRACT FROM AUTHOR]

This study examines the risk spillovers among the world’s top oil & gas firms, accounting for the role of environmental fiscal policies, economic policy uncertainty (EPU), and regulatory quality. We find evidence of high risk spillovers among the oil & gas firms, being more intense at the extreme market states. More highly capitalised firms are mostly net transmitters of spillovers across the different market states, but less so at the extreme market states. Net pair-wisely, the network analysis suggests that spillovers are trivial when the market is normal, but complex when it is bullish. Finally, the spillovers are driven by environmental tax and expenditures, EPU, and regulatory quality heterogeneously. These results have important implications for suitable investment decisions and policy-making. [ABSTRACT FROM AUTHOR]

Copyright of Kastamonu University Journal of Economics & Administrative Sciences Faculty / Kastamonu Üniversitesi Iktisadi ve Idari Bilimler Fakültesi Dergisi is the property of Kastamonu University and its content may not be copied or emailed to multiple sites or posted to a listserv without the copyright holder's express written permission. However, users may print, download, or email articles for individual use. This abstract may be abridged. No warranty is given about the accuracy of the copy. Users should refer to the original published version of the material for the full abstract. (Copyright applies to all Abstracts.)

Tax expenditure management is one of the tools for conducting responsible fiscal policy. Unlike direct expenditures, tax expenditures do not consume resources, but allow the achievement of certain social and economic goals. The purpose of this study is to test the hypothesis of the expediency of using the mechanism of tax expenditures to influence investment activities and the development of priority sectors of the economy. The object of this study was a sample of nine countries of the G-20 group, whose reports provided data on the share of tax expenditures related to investment support and stimulating the development of priority sectors of the economy. The practice of generating reports on tax expenditures is quite common in developed countries, but there are several limitations for cross-country comparison: national characteristics of fiscal elements, and the level of openness and transparency of data on tax expenditures. The scale of using tax expenditures is determined by the multidimensional average method; countries are rated according to the value of the integral indicator. The scale of tax breaks determines the position in the ranking. The effectiveness of using tax breaks is assessed through the coefficient of increase in investment and the coefficient of increase in industrial production. The assessment results show whether economic indicators are outpacing the growth rate of tax benefits and preferences. A study of panel data revealed the average degree of influence of the total amount of tax expenditures on the dynamics of capital investments. The allocation of a target group of tax expenditures related to investment support showed a weak degree of influence on the dynamics of capital investment volumes. The results obtained can be explained by the fact that the allocation of a target group of tax expenditures may not reflect the full range of tax benefits provided to support investments, which is due to the peculiarities of the system of accounting and assessment of tax expenditures in a particular country. In addition, the contribution of tax expenditures may be insignificant if direct forms of support prevail. [ABSTRACT FROM AUTHOR]

Copyright of Revista Foco (Interdisciplinary Studies Journal) is the property of Revista Foco and its content may not be copied or emailed to multiple sites or posted to a listserv without the copyright holder's express written permission. However, users may print, download, or email articles for individual use. This abstract may be abridged. No warranty is given about the accuracy of the copy. Users should refer to the original published version of the material for the full abstract. (Copyright applies to all Abstracts.)

This study aims to investigate the macroeconomic impact of fiscal policy in Türkiye, where fiscal policy faces several challenges. Using annual time series data from 1980 to 2021, we examine the impact of tax and public expenditure subcomponents on GDP using the augmented autoregressive distributed lag (A-ARDL) bound test approach proposed by Sam et al. (2019). The A-ARDL test results indicate that tax revenue has a positive impact on economic growth in the short run, while tax revenue has a negative impact on economic growth in the long run. Furthermore, we conclude that increases in current and investment expenditures have a positive impact on economic growth in the short and long run, while increases in transfer expenditures have a negative impact on economic growth in the short run. [ABSTRACT FROM AUTHOR]

This study examines two different fiscal competition games under labor market imperfections. Given that capital moves across regions and affects regional employment, governments must choose the expenditure level and tax rate on such mobile capital by accounting for the effects of fiscal variables on both capital and labor. Therefore, governments may play these games with either the tax rates on mobile capital or with public expenditures. The presence/absence of absentee ownership of capital and employment externalities are significant factors that characterize two distinct Nash equilibria, one that occurs with tax competition and the other with expenditure competition. Contrary to the existing literature, tax rates under tax competition are likely to be lower than those under expenditure competition owing to employment externalities. In some cases, governments prefer to choose government expenditure as their strategic variable rather than the tax rate. The presence of employment externalities motivates governments to use such expenditure as the variable through which it may strengthen strategic effects. [ABSTRACT FROM AUTHOR]

A significant part of the revenue supplying municipal budgets in Poland comes from taxes that are subject to municipalities' constitutionally enshrined powers. This income is mainly generated by contributions connected with the right of property ownership, among others. Apart from a fiscal function, taxes may also stimulate specific processes. Positive stimulation within the scope of tax policy is mainly based on various types of tax preferences. They may be applied as a tool of tax policy which fulfils specific economic and social objectives. These issues have become particularly important during emergencies taking place in the state, such as the COVID-19 pandemic, the migration crisis or the war in Ukraine. In the wake of the recent occurrence of such types of quasi-extraordinary measures, it is reasonable to ask a question about the need to adjust the legal limits of municipal tax powers in this regard. Concurrently, the necessity to maintain balance between support provided to specific categories of entities and the financial needs of municipalities may not escape notice. The Polish experience shows that as a consequence of emergencies, ad hoc solutions of a merely occasional nature have been introduced to the tax law system. Hence a thesis may be formulated according to which it is reasonable to approach this kind of phenomenon in a systemic way, which should be reflected in the introduction of standard and stable tools that could enable municipalities to undertake specific action. The purpose of this study is to verify this assumption, relying, most of all, on the experiences and needs that have emerged in Poland in recent years. [ABSTRACT FROM AUTHOR]

Purpose: The relationship between public expenditure and revenue that determines the budget balance in the explanation of budget deficits is very important. This study aimed to examine the association between public spending and income in Turkey. Methodology: This article applies the continuous wavelet transform method (CWT) to study the relationship between government revenues and expenditures in Turkey. The study, which covers the period 2006-2020, consists of monthly data. The following four CWT tools were used in the analysis: Wavelet Power Spectrum, Cross Wavelet Power, Wavelet Coherence, and Phase Difference. Results: The results of the study, controlling taxes rather than expenditures, play a key role in reducing fiscal deficits in Turkey in the short term. It is revealed that the dynamics of the budget balance in the medium term can be explained by the spend-tax hypothesis and that the tax burden can be alleviated by spending cuts. In the long term, results were obtained that support the spend-tax hypothesis. Conclusion: The paper reveals that taxes play an important role in controlling budget deficits in the short run. It turns out that the dynamics of the budget balance can be explained in the medium term by expenditure cuts and then the tax burden can be alleviated. In the long run, implementing fiscal policies based on public spending rather than taxation will be more effective against budget deficits. [ABSTRACT FROM AUTHOR]

Rising wealth inequality and squeezed public budgets has brought wealth tax back into policy discussions. A net wealth tax might help to boost state revenue and reduce wealth inequality. Yet little is known about citizens' attitudes towards the design of a net wealth tax (i.e. the tax unit, exemption and rate). Using a novel multifactorial survey experiment, we examine citizens' endorsement of fundamental principles of taxation. Building on policy feedback theory, we examine if preferences differ in three policy arenas (USA, Germany and UK) and whether individuals' reasoning is dependent on self-interest. While a clear majority in all three countries generally endorses a wealth tax, our findings show that citizens care more about the amount exempted than the tax unit or rate. We do not identify a preference for any specific tax unit. Furthermore, tax preferences seem to be strikingly similar among citizens of all three countries. Yet we show that individuals are mostly concerned about not being personally affected by such a tax, which is reflected in their preference for substantial exemptions. We discuss our findings with regard to our understanding of wealth inequality, tax equity and the potential implications for policymakers. [ABSTRACT FROM AUTHOR]

This study examined the impact of institutional quality and fiscal policy represented by Country Policy Institutional Assessment indicators, Total government expenditure and tax. The study applied the Pooled OLS to the data sourced from World Development Indicators (WDI) and Country Policy Institutional Assessment (CPIA) for the period of 2005 to 2020. The study found that institutional quality is negative and significant to economic growth in Sub-Saharan African Countries. This implies that institutional quality is significant to economic growth but the values of the Country Policy Institutional Assessment indicators have been negatively significant from 2005 to 2020 in Sub-Saharan African Countries. This study also found fiscal policy to be positively significant to economic growth in Sub-Saharan African Countries. This implies that a unit increase in Total government expenditure will result in a 0.5289 to 1.5074 increase in Gross Domestic Product per Capita, while a unit increase in tax will result in a 0.3127 to 1.3088 increase in Gross Domestic Product per Capita. The study concludes that the state of institutional quality is crucial to the advancement of economic growth in Sub-Saharan African Countries as it would prevent corruption and the implementation of ineffective policies. [ABSTRACT FROM AUTHOR]

Copyright of Hitit Journal of Economics & Politics / Hitit Ekonomi ve Politika Dergisi is the property of Hitit Journal of Economics & Politics and its content may not be copied or emailed to multiple sites or posted to a listserv without the copyright holder's express written permission. However, users may print, download, or email articles for individual use. This abstract may be abridged. No warranty is given about the accuracy of the copy. Users should refer to the original published version of the material for the full abstract. (Copyright applies to all Abstracts.)

The main approach to promoting high-quality development lies in fostering self-reliance and self-improvement in science and technology, as well as enhancing the technological innovation capabilities of enterprises. In the new stage of moving from imitation to innovation, tax reduction plays an important role in promoting enterprise technological innovation. This article uses the data of A-share listed companies from 2008 to 2019 to explore the mechanism of how tax reduction exerts its core role in innovation. The findings indicate that tax cuts have a stimulating effect on firms' research and development (R&D) innovation. These results hold true even after accounting for tax evasion and R&D manipulation behaviors. The mechanism analysis reveals that the incentive effects of tax cuts are realized through financing, specialized divisions, and the creation of added value. Notably, the "financing effect" exhibits a path dependence among high-tech enterprises. Furthermore, in terms of tax preferential policies, the "R&D expenses plus deduction" policy demonstrates the most significant incentive effect, while the "15% tax rate preference" is less effective than initially anticipated. However, the combined effect of both policy types proves to be significant in promoting R&D innovation, thereby enhancing the impact of a single-policy approach. Nevertheless, a structural phenomenon regarding the incentive effect on the input and output sides is observed. Through empirical analysis, this paper not only presents fresh ideas for improving tax reduction policies and unleashing the potential of scientific and technological innovation, but also offers essential insights for facilitating technological catch-up and achieving high-quality economic development. [ABSTRACT FROM AUTHOR]

Within the article, the impact of the tax policy on fiscal stability and risks management to identify perspectives and challenges facing Ukraine in the conditions of martial law are researched. The main approaches to determining and understanding fiscal stability are identified, which include the approach related to the budget balance; the approach based on the dynamics of money turnover; the approach focused on public debt; and the approach that takes into account socio-economic justice. The advantages and disadvantages of using these approaches are formulated. It is proved that the outlined approaches to understanding fiscal stability are interrelated and complementary, since of them is focused on different aspects of the fiscal policy due to its impact on the economy and society. The integrated use of these approaches allows us to obtain a more complete and objective understanding of fiscal stability and its dependence on other aspects of economic development. The relationship between the tax system and fiscal stability is identified and characterised. It is proved that the tax system, which determined the method of collecting revenues for the state budget and forms the specifics of the state's financial policy, is a significant prerequisite for managing finances and ensuring fiscal stability. The main risks associated with the valid tax system that can affect fiscal stability and formulate the likely consequences of their implementation are identified. The most significant risks include as follows: shortcomings in tax legislation, increased losses of financial and physical assets of economic entities as a result of war, tax abuses and tax evasion, macroeconomic financial and tax crises, tax completion between countries, corruption, tax policy and social conflicts, changes in international tax standards (in the context of the chosen path of the Ukraine's development towards European integration). Prospects for reforming the tax system to improve fiscal stability in the conditions of war and post-war conditions are formulated. [ABSTRACT FROM AUTHOR]

This study estimates the interactive effect of fiscal policy and government health expenditure on income inequality and health outcomes in Sub-Saharan Africa (SSA) countries. The study covers the period 2010-2022 using panel data on 12 countries. Estimation is done using the System GMM estimation technique. Findings from the estimated model shows that an interaction of fiscal policy and government health expenditure exerts a negative and significant effect on under-five mortality (MORT). On the other hand, the interaction of fiscal policy and government health expenditure leads to a reduction in life expectancy (LFX), but not significantly. Finally, the interaction of fiscal policy and government health expenditure leads to a negative effect on income inequality (INQ). Based on the findings, the study recommended that given that the interaction of both components of fiscal policy - income tax and government expenditure on health - and government health expenditure yields better outcomes on health and inequality (howbeit insignificant in the case of inequality), fiscal policy makers must ensure that there is no mis-match in the revenue and spending components of fiscal policy, and become more deliberate in channeling income tax to health spending. [ABSTRACT FROM AUTHOR]

The long R&D process, the high risk, and the externalities of technological innovation are challenges that enterprises have to meet when making decisions on R&D investment. Governments share this risk with enterprises through preferential tax policies. We summarized China's preferential tax policies related to enterprises and R&D innovation, and used panel data of listed enterprises from 2013 to 2018 in the Growth Enterprises Market (GEM) of the Shenzhen Stock Exchange to explore the incentive effects of current tax policies on the R&D innovation of enterprises. Through empirical analysis, we found that tax incentives significantly motivate R&D innovation input and promote output. In addition, we found that the income tax incentives are greater than that of the circulation tax, since the profitability of enterprise has a positive correlation with R&D investment. Meanwhile, the size of the enterprise is negatively correlated with the intensity of R&D investment. [ABSTRACT FROM AUTHOR]

We argue that tax policy typically does not respond to inequality because many voters hold equal treatment fairness beliefs for which the expectation is that, just as all have one vote, the state should treat citizens equally on other dimensions of policy. In the tax domain, this means all should pay the same rate. We propose a new survey instrument to measure equal treatment beliefs and implement it in surveys in Germany, the United Kingdom, and the United States. We document in all three countries a robust negative partial correlation between the strength of individual equal treatment beliefs and preferences for higher taxes on the rich. We also present results from a survey experiment in the United States that exposes respondents to a violation of equal treatment beliefs—voting weighted by educational attainment. Exposure to this treatment both increases the strength of equal treatment beliefs and decreases support for progressive taxation. [ABSTRACT FROM AUTHOR]

As regards the concept of fiscal sustainability, our study finds that in this area a variety of issues can be examined with very different tools. The issues may concern the achievement of fiscal constraints over an infinite horizon, the realisation of a specific target, or the fiscal policy response to indebtedness observed in the past. In some cases additional aspects of sustainability are considered too, such as the effects of ageing, although the consequences of rising inequality are mostly overlooked. The model may also include an estimate of the investment needed to mitigate the effects of climate change, but the impact of the impact of climate change is outside the model framework. To answer these questions, it may also be necessary to include uncertainty, in which case the discounting of future debt, tax revenue and expenditure with an intertemporal budget constraint in a stochastic environment depends on the probability distribution of these factors under different states. Our sustainability analysis, on the one hand, presents the best practice, complemented with the directions we have identified for further improvement. On the other hand, we have made the necessary corrections to avoid oversimplification in calculating debt dynamics. [ABSTRACT FROM AUTHOR]

Racial wealth inequality is no accident of history. Rather, it is the intended result of the southern Democrats in Congress who controlled federal tax policy throughout most of the twentieth century. Beginning in the 1930s, champions of white supremacy, such as Senator Pat Harrison (D-MI), Senator Walter George (D-GA), and Senator Harry F. Byrd, Sr. (D-VA), turned to an ostensibly race-neutral provision of the US income tax code—the preferential treatment of gains from investment—to uphold their (im)moral economy of "whites-only" wealth. After 1965, these segregationists' successors—particularly Senator Russell B. Long (D-LA) and Senator Lloyd Bentsen (D-TX)—furtively rebuilt and shored up the structure of racial inequality with additional tax breaks (called "tax expenditures") for investors. Our income tax system embodies—and immortalizes—a Jim Crow–era moral economy of "whites-only" wealth. Thanks to pro-investment tax expenditures, the racial wealth gap has widened over the last four decades as the very richest American households—the white 1 percent—compounded their wealth, at the expense of everyone else. [ABSTRACT FROM AUTHOR]

A new work by Richard Holden and Rosalind Dixon engages with the impact on tax policy of the COVID-19 pandemic. The responses by government included unprecedented intervention in the economy to support wages. The authors advocate a range of measures to deal with the disruption created by the pandemic, including a universal jobs guarantee, increases to the minimum wage, universal healthcare, a public baseline for child care and basic leave benefifits, extended infrastructure spending and environmental taxes. To fund these measures, a range of tax reform proposals are discussed, including a progressive GST that reduces GST for low-income earners, removing CGT concessions and a preference for taxing capital rather than income. The authors raise important questions as to the adequacy of the tax policy settings developed during the last few decades, in a rapidly changing world that places increasing demands on government to fund range of current and new programs. [ABSTRACT FROM AUTHOR]

This paper takes the 2014 pilot project of accelerated depreciation of fixed assets as a quasi-natural experiment, and builds a Propensity Score Matching–Difference in Differences (PSM-DID) model based on the data of Chinese listed companies from 2000 to 2019 to test the impact of tax preference on enterprise investment efficiency and its mechanism. The results show that the policy inhibits supported enterprises investment efficiency significantly. Heterogeneity analysis shows that the policy causes greater investment efficiency losses for small and medium-sized enterprises, non-state-owned enterprises and asset-heavy enterprises. The mechanism test found the reason why the policy eased financing constraints but inhibited investment efficiency in short-term. After a variety of robustness tests, the above basic conclusions are still valid. Although the accelerated depreciation policy of fixed assets is conducive to expanding the scale of investment, the incentive effect on investment efficiency is not obvious, and even shows a restraining effect. Given the existence of heterogeneity, the design of the policy should not only distinguish industries, but also pay attention to the differences between different enterprises in the same industry. Strengthening research and development (R&D) innovation and improving the matching mechanism between human capital and fixed investment will help give full play to the incentive effect of this policy. The research in this paper helps to deepen the understanding of the microeconomic effects of tax policy and identify the internal mechanism, which not only enriches the relevant literature, but also provides a reference for the government to better use tax policy to promote the high-quality development of enterprises. [ABSTRACT FROM AUTHOR]

Socio-natural disasters remain underexplored events in economic history, even though they stress societies in several ways and are known for their relationship with institutional change. In this paper, we explore this issue showing that major earthquakes in Chile have become a window of opportunity for important fiscal reforms. Our findings indicate that there are two mechanisms to explain this relationship: first, reconstruction demands greater state expenditure and intervention; and second, the emergence of narratives that justify these reforms, such as patriotism and solidarity. However, data show that in the case of Chile, changes following disasters have had little impact on the overall tax structure of the country, and the historical preference for indirect taxes has been maintained, with limited power to impose taxes on high-income groups. [ABSTRACT FROM AUTHOR]

This paper investigates whether the scope of preferential tax treatment depends on the political strength of the incumbent mayor. A dataset on real estate taxes in Polish municipalities in 2005–17 is used. More tax revenues are foregone in municipalities governed by politically weak mayors, albeit the uncovered relationship has limited economic significance. It is tentatively found that the preferential tax policy has a slightly negative, if any, effect on municipal revenues. As such, it is rather a political than an economic tool. Less popular mayors offer higher reductions towards natural persons and in the form of tax rate reductions. [ABSTRACT FROM AUTHOR]

Copyright of Journal of Changzhou University (Social Science Edition) is the property of Editorial Department of Journal of Changzhou University and its content may not be copied or emailed to multiple sites or posted to a listserv without the copyright holder's express written permission. However, users may print, download, or email articles for individual use. This abstract may be abridged. No warranty is given about the accuracy of the copy. Users should refer to the original published version of the material for the full abstract. (Copyright applies to all Abstracts.)

Copyright of Canadian Journal of Economics is the property of Wiley-Blackwell and its content may not be copied or emailed to multiple sites or posted to a listserv without the copyright holder's express written permission. However, users may print, download, or email articles for individual use. This abstract may be abridged. No warranty is given about the accuracy of the copy. Users should refer to the original published version of the material for the full abstract. (Copyright applies to all Abstracts.)

This article systematically reviews trends in numerous economic policy indicators in eighteen OECD countries since the early 1980s, synthesizing findings about the fate of states' economic interventionism from several customarily separate literatures. Rather than observing any paradigmatic policy shift, the review finds that policies with markedly different ideational foundations currently cohabitate. In line with non-interventionist prescriptions, policymakers have largely abandoned the intrusive heterodox 'power tools' of previous eras, while establishing new norms for monetary policy based on monetarist theory. However, this has not led to a full retreat of economic interventionism. Instead, policymakers are gradually developing a new, albeit more constrained, approach to promoting economic activity in line with selected distributional goals – here labelled the micro-interventionist state, or the 'Swiss Army Knife State', as it were. The cross-partisan appeal of the 'multi-tools' associated with this approach – such as horizontal industrial policy, active social policy, and strategic tax expenditures and procurement – partly stems from their versatility, as policymakers can use them to very different distributional ends. To better understand the politics and distributional consequences of contemporary economic policies, scholars need to take their versatility more seriously, shifting focus theoretically and empirically from how much to how policymakers intervene in the economy. [ABSTRACT FROM AUTHOR]

This article aims to estimate fiscal multipliers in Italy by assessing the effect of an increase in government expenditure and taxes on the Gross Domestic Product (GDP). By applying structural vector autoregressive modelling to Italian quarterly data for the 1995–2019 period, I show that expansionary fiscal policies produce positive effects on the GDP level. Estimated spending multipliers are higher than 1, and when government investment and consumption are compared, findings show that government investment has a larger effect on GDP than government consumption. Estimated tax multipliers are lower than 1, and tax-based policies are less effective in stimulating GDP than expenditure-based fiscal plans. My findings strongly support the Keynesian perspective and indicate that Italy should increase public investments considerably in order to foster economic growth. [ABSTRACT FROM AUTHOR]

The relevance of the topic consists in the fact that due to limited start-up capital, high risk and uncertainty about profitability, lack of experience and, consequently, a positive credit history, venture capital is recognized as the main source of financing the development of many companies in the early stages. The purpose of the paper is to prove the hypothesis of the determining influence of fiscal factors of stimulation of research and development and a set of stable economic and political preconditions for expanding the presence of venture capital in the country. Based on the data of twenty European countries for 2007—2018 (240 observation points), a regression dependence of the amount of invested venture capital on tax preferences in research and development, research and development costs and country risk were constructed. The assessment of the parameters of the created regression model made it possible to prove that it can be used for forecasting volumes of investment of venture capital at the change of the factors of fiscal policy and reduction of macroeconomic risks. The directions of activation of venture financing for the countries are formed: for the development of high technologies and the implementation of innovative ideas, the state should apply tax benefits and preferences for research activities of small and medium enterprises; expansion is necessary for state support for innovation through the consolidation of state and local budgets on research programs, the creation of research and production clusters, technology incubators, support for individuals in their innovation initiatives; the high risk of the country not only leads to a decrease in the inflow of foreign venture capital: domestic investors will withdraw their venture capital and direct it to countries where the political and economic situation is more stable, which further deepens the economic shocks of the national economy and leads to political ones. The implementation of these measures will promote the development of high-tech enterprises, job creation in the country by overcoming the problem of limited financial resources through investment of venture capital. [ABSTRACT FROM AUTHOR]

Whether to increase taxes or cut spending is an important question with profound policy implications, especially as countries attempt to deal with the consequences of the COVID-19 pandemic. This study, therefore, investigated the relationship between revenues and spending in the Southern African Development Community (SADC), where concerns about rising debt and deficits were raised prior to the pandemic. A panel bootstrap Granger-causality technique was used to analyze annual frequency data covering the 1980–2018 period. To our best knowledge, this was the first study in Africa to simultaneously account for cross-country differences and cross-section dependence. The findings of the study have in-depth implications for fiscal policy and adjustments towards budgetary equilibria. The study found no evidence of causality between revenues and spending in eleven SADC member states, suggesting that to balance their respective budgets, governments in these countries can alter either spending or revenues, or both. However, in Botswana, we found evidence of the tax-spend hypothesis, implying that governments should consider altering revenues to eliminate budget imbalances. Finally, evidence of the spend-tax hypothesis was found in Mauritius and Mozambique, suggesting that past and current expenditures drive revenues in these countries. Accordingly, cutting spending would be an ideal policy recourse to deal with budgetary disequilibrium. [ABSTRACT FROM AUTHOR]

This paper combines the Cobb-Douglas (CD)with the method of Data Envelopment Analysis and Analytic Hierarchy Process(DEA-AHP) and applies it to the input efficiency evaluation of fiscal and taxation policies. Based on the input of the number of fiscal policy items and the output model design of transformation and upgrading, the overall efficiency of fiscal policy is calculated by the method of Data Envelopment Analysis and Analytic Hierarchy Process. It turns out that the overall efficiency of fiscal and taxation policies is 0.397, and the efficiency of pure policy factors is 0.616. There is a difference in input efficiency between preferential tax policies and fiscal subsidy policies. Tax preferential policy has insufficient investment, and financial subsidy has investment redundancy. Furthermore, the absolute value of tax incentives and financial subsidies are introduced into the CD Function to calculate the contribution rate, and the government and enterprise factors that are not effective in the efficiency of fiscal and taxation policies are attempted to be separated. As a result, it is found that the contribution rate of financial subsidies is weakly negatively correlated. It shows that the conversion rate of enterprises to the financial subsidy policy is low, and the tax preference policy has a better conversion rate. The results of the study reveal that the scope and intensity of tax optimization needs to be increased at the government level, and the utilization of fiscal subsidy policies needs to be improved at the enterprise level. The government should reduce financial subsidies and establish a universal tax preferential policy system. [ABSTRACT FROM AUTHOR]

Copyright of Gazi Journal of Economics & Business is the property of Gazi Journal of Economics & Business and its content may not be copied or emailed to multiple sites or posted to a listserv without the copyright holder's express written permission. However, users may print, download, or email articles for individual use. This abstract may be abridged. No warranty is given about the accuracy of the copy. Users should refer to the original published version of the material for the full abstract. (Copyright applies to all Abstracts.)

Based on the analysis of five aspects of fiscal and tax policies, namely,direct financial investment, financial subsidies, tax preferences, preferential administrative fees and government purchase of services, the analysis finds that Chongqing' s elderly industry is inseparable from fiscal and tax policy innovation and comprehensive use of various fiscal instruments; the city's disadvantaged groups' support is ensured through financial investment to nurture elderly institutions. However, due to the lack of holistic thinking in industrial development, weak introduction of market mechanism and unreasonable system design, there are still problems such as narrow coverage of fiscal policies, large regional differences, weak market response, loss of social welfare and weak government purchase services. Therefore, an ecological view, coordinated development view and quality view of senior industry development should be established, the boundary between government and market should be clarified, and practical and effective measures should be taken to promote coordinated development between regions and within industry. [ABSTRACT FROM AUTHOR]

Copyright of Al Bashaer Economic Journal is the property of Al Bashaer Economic Journal and its content may not be copied or emailed to multiple sites or posted to a listserv without the copyright holder's express written permission. However, users may print, download, or email articles for individual use. This abstract may be abridged. No warranty is given about the accuracy of the copy. Users should refer to the original published version of the material for the full abstract. (Copyright applies to all Abstracts.)

This study examines the size and diversity of tax expenditures (TEs) by gminas (municipalities) in Poland between 2007 and 2019. Consequences of gminas' taxing power and the reduction of revenues resulting from statutory tax preferences were taken into account. To analyze the data, we used: scatter graphs (showing the relationship between two selected variables) and plot graphs (showing the course of the values of the studied variables over time, to show the dynamics of the phenomena). The scatter graphs showed, sometimes strong, linear correlative relationships. No clear curvilinear relationships were found, therefore we applied Pearson correlation. Gminas used TEs to a small but also highly variable extent. The factors determining their use involved: the type and potential of the gmina; the type of local tax. The research hypothesis was partially positively verified. The increase in the incremental % of TEs' share in tax revenue has a positive impact on the incremental trend of revenue growth in the following year. The use of TEs in real estate and vehicle taxes may have strengthened the revenue potential of some gminas in the consecutive years. [ABSTRACT FROM AUTHOR]

Copyright of Hacettepe University Journal of Economics & Administrative Sciences / Hacettepe Üniversitesi Iktisadi ve Idari Bilimler Fakültesi Dergisi is the property of Hacettepe University, Faculty of Economic & Administrative Sciences and its content may not be copied or emailed to multiple sites or posted to a listserv without the copyright holder's express written permission. However, users may print, download, or email articles for individual use. This abstract may be abridged. No warranty is given about the accuracy of the copy. Users should refer to the original published version of the material for the full abstract. (Copyright applies to all Abstracts.)

Stanley Surrey (1910-1984) was arguably the most important tax scholar of his generation. Surrey was a rare combination of an academic (Berkeley and Harvard law schools, 1947-1961 and 1969-1981) and a government official (Tax Legislative Counsel, 1942-1947; Assistant Secretary for Tax Policy, 1961-1969). Today he is mostly remembered for inventing the concept of tax expenditures and the tax expenditure budget. This paper will argue that while Surrey was influential in shaping domestic tax policy for a generation and had an impact after his death on the Tax Reform Act of 1986, his longest lasting contributions were in shaping the international tax regime, since the concept of the single tax principle that shapes contemporary international tax reform efforts can be traced directly to his writing and activities both in academia and in the government. [ABSTRACT FROM AUTHOR]

Copyright of Financial & Economic Law Review is the property of Angle Publishing Co., Ltd and its content may not be copied or emailed to multiple sites or posted to a listserv without the copyright holder's express written permission. However, users may print, download, or email articles for individual use. This abstract may be abridged. No warranty is given about the accuracy of the copy. Users should refer to the original published version of the material for the full abstract. (Copyright applies to all Abstracts.)

In this research, we analyse the use of fiscal expenditure as an instrument of fiscal consolidation policy. Portugal was subject to the financial assistance programme (PAEF) articulated with the IMF, the European Commission and the European Central Bank between 2010 and 2014. The objective is to analyse the evolution of fiscal expenditure in the following four years, after the end of that term programme, that is, between 2015-2018. The outcome is to know if the policy of reducing fiscal expenditure implemented in the years in which the programme was in force (2010-2014), continued into the following four years. We compared this evolution with the evolution of direct expenditure, based on two main axes: economic expenditure and social expenditure. The data collection technique is used through document research, and the data obtained was from information provided by national, European statistical authorities and secondary sources of information. It is concluded that, in the 2014-2018 period, the increase in public revenue, due to the decrease in tax expenditure, did not evolve consistently. In 2014-2018, direct public expenditure did not follow the same pattern as in the previous years of 2011-2014, given the functional equivalence of the two types of expenditure. Finally, to observe the relationship between the level of fiscal consolidation, carried out between the years 2010 and 2018, and the behaviour of tax revenue and expenditure, the Scheffé test was performed on the averages of the variables Total Revenue and Expenditure, and Tax Revenue and Expenditure. This was applied in order to observe if the averages of the variables are significantly relevant for the level of fiscal consolidation or if there are other variables, equally important, that were not taken into account in the study, but that had a preponderant role (such as the economic context). We have to statistically conclude that both the revenue and expenditure averages and the percentage averages are not all equal, as they are, in fact, all different between the groups analysed. In order to clarify if the differences in revenue and expenditure and in the respective percentages are statistically significant or if, on the contrary, they are merely eventual, we previously verified their applicability through the assumptions of normality and homoscedasticity of each of the data sets, using the ANOVA test (Fisher, 1918). We observed that for both the amounts of revenue and expenditure, as well as the percentages, the p-value observed in the ANOVA test was equal to 0.000 (i.e. less than 0.050), implying the rejection of the null hypotheses and the acceptance of the alternative hypotheses, according to which the average values of the amounts of revenue and expenditure, and the average values of the percentages are not all equal. The general conclusion is that there was budget consolidation, but this must have been due to other factors, such as the economic environment, since there is no direct relationship between revenue, fiscal expenditure and budget consolidation in any of the periods studied. [ABSTRACT FROM AUTHOR]

Tax regulation reduces the uncertainty of the future tax expenditures of economic entities and the degree of their adaptation to an aggressive external environment. That is why the features of the taxation process, its importance for the economy of the country as a whole, and for each taxpayer in particular, make it necessary to distinguish the tax payment management system into an independent branch of financial management and a separate scientific and practical direction of economic thought in Ukraine. Currently, in Ukraine there are separate elements and techniques of tax regulation, but there is no coherent theoretical and methodological basis on which to build a system of relevant practical decisions, measures and mechanisms of tax management at both the level of economic entities and the entire tax process of the country. Therefore, the need to separate the tax management system into a specific area of scientific knowledge is obvious. The complexity and volatility of the current economic environment, the uncertainty and riskiness of the functioning of enterprises and the state financial economy make forcing a scientific basis in the process of tax regulation taking into account the realities of a market economy. Moreover, with the complication of tax systems and economic ties under the influence of globalization processes, the role of tax regulation is increasing. This is especially true in modern Ukraine, where market relations and institutions have not yet been fully formed. Regulation of tax payments by Ukrainian enterprises also requires its methodological substantiation and practical development. Corporate tax regulation should become one of the most important functions of enterprise management, which, unfortunately, is still being applied haphazardly and for the most part in order to minimize tax payments. This testifies to the extreme importance of the scientific solution to the problem of tax regulation in the context of organization of tax management at the enterprise. Tax policy of Ukraine, as the main direction of realization of its financial activity, is a key factor of state formation. Regulation of the social sphere by means of tax policy is one of the most important directions of state regulation, first, in the conditions of unstable economy. The key directions of the tax policy of the state in accordance with the priorities of the social sphere are presented. The main task is to analyse trends in tax regulation in the context of social processes. Several effective tools of tax regulation of social sphere of Ukraine are offered. The comparative analysis of the peculiarities of the application of tax regulation instruments of social processes in domestic practice is carried out. The comparative characteristics of the mechanisms of reduction of tax payments are presented. The tendencies of development of the tax system of Ukraine in the context of social processes are revealed. The social aspects of the implementation of the anti-crisis tax policy have been determined. Scientific, methodological and practical recommendations for improving the efficiency of tax regulation of social development have been developed. [ABSTRACT FROM AUTHOR]

Copyright of Economy & Forecasting / Ekonomìka ì Prognozuvannâ is the property of Ukrainian National Academy of Sciences, Institute for Economic Forecasting and its content may not be copied or emailed to multiple sites or posted to a listserv without the copyright holder's express written permission. However, users may print, download, or email articles for individual use. This abstract may be abridged. No warranty is given about the accuracy of the copy. Users should refer to the original published version of the material for the full abstract. (Copyright applies to all Abstracts.)

Municipal governments in the U.S. tend to build and maintain substantial general fund balances to ensure expenditure stability and long-term financial sustainability. It is important to understand how municipal fund balances help stabilize municipal spending. This article examines the annual municipal general fund expenditure gap between 1996 and 2011. Using data from 100 large cities, the empirical evidence does not support the stabilizing effect of the unreserved fund balance on general fund expenditure. Furthermore, the undesignated portion of the unreserved fund balance helps stabilize municipal general fund expenditure during upturn years, whereas the designated portion plays a procyclical role. This article also finds that more restrictive local tax and expenditure limits lessen municipal expenditure gap during bad fiscal years and that residents with conservative ideology tend to support countercyclical fiscal policies at the local level. [ABSTRACT FROM AUTHOR]

The government can use different ways to stimulate certain industries or categories of taxpayers. It can be achieved with direct payments and subsidies that increase the budget revenues. It is also possible to achieve this aim by reducing budget revenues by failing to collect some of them to be ceded to preferred groups of taxpayers. These are so-called tax expenditures. In Bulgaria, official statistics on their value and impact have been kept since 2007. Following the requirements of the EU, a national definition of the term tax expenditure is adopted in Bulgaria, which should correspond to the specifics of our tax system. Despite the relatively small share of the tax expenditures - about 2% of total tax revenues in Bulgaria, their values are subject to continuous analysis and control of their effectiveness. The lower it is, the state fails to collect additional revenues without generating benefits for the economy. At the same time, how our tax policy can use them to stimulate an industry such as agriculture, where employment is still quite high, is a priority of this study. The purpose of this article is to assess and analyze the tax expenditures applicable for agriculture in Bulgaria. Modern approaches and methods such as the method of analysis and synthesis have been used in solving the research tasks and achieving the main goal in the research; inductive and deductive methods, comparative methods, and logical description. Continuous analysis and assessment of each tax preference and relief are necessary to be made to establish their effectiveness. This also concerns tax expenditures. If they are ineffective, the state simply fails to collect additional budget revenues without creating benefits for society and the economy The tax legislation in Bulgaria provides for the application of a small number of tax revenues due to its broad tax base and low tax rates. However, a significant part of them is intended for agriculture. It can be concluded that along with tourism, agriculture enjoys the most tax reliefs. [ABSTRACT FROM AUTHOR]

The subject of research was the size and diversity of use of tax expenditures by Polish municipalities with the goal to determine their relation to the local tax policy objectives. The authors used typical methods for social science, i.e., the methods of empirical cognition, observation in particular. In order to prove the influence of the municipal tax policy on the implementation of local tax policy objectives, the correlation analysis was used. The results show a considerable varied use of tax expenditures between Polish municipalities and a fairly significant relationship between the preferences used in local tax policy and the effects of its application assumed by local units. The results of this research can be used by decision-makers in the process of creating tax policy, especially in choosing proper elements of taxes, such as the categories of tax expenditures. [ABSTRACT FROM AUTHOR]

We study optimal fiscal policy in a stock‐flow model of the environment within an endogenous growth framework, where some pollutants have a lasting impact on environmental quality which is restored through abatement expenditure, while others dissipate and hence, have a short‐term effect on the environment. All pollutants, however, affect the productivity of a public good negatively. Given that short‐term pollution, although it dissipates, is irreversible in this sense, a government cannot ignore its negative effects since this type of pollution lowers the productivity of all inputs. We find that a larger negative effect of short‐term pollutants as well as a higher congestion effect of private capital leads to corrective fiscal policies with higher optimal income tax and abatement expenditure rates, which have favorable growth consequences. Interestingly, we find that the rate of short‐term pollution does not affect optimal fiscal policy while that of the long‐term pollution does. [ABSTRACT FROM AUTHOR]