Political Economy: Fiscal Policies & Behavior of Economic Agents eJournal最新文献

{"title":"A Nova Lei das Estatais afetou as empresas públicas listadas na bolsa? (Has the New State Law Affected Listed Public Companies?)","authors":"Vitor Kayo, M. Holland, J. Sampaio","doi":"10.2139/ssrn.3397679","DOIUrl":"https://doi.org/10.2139/ssrn.3397679","url":null,"abstract":"Portuguese Abstract: Esse trabalho estuda os efeitos da introducao de uma nova legislacao voltada para empresas estatais no Brasil. Particularmente, analisa se essa nova legislacao, ao promover ganhos de governanca corporativa, leva a reducao da percepcao de riscos na administracao das companhias e, com isso, na volatilidade dos retornos das acoes dessas empresas. Para tanto, sao usados estimadores de controle sintetico conforme a metodologia ArCo (Artificial Counterfactual), usando dados em painel de series temporais de alta dimensao, de 2011 a 2018. Nossos resultados mostram que treze de vinte acoes analisadas apresentam reducao em suas volatilidades, seis das vinte acoes apresentam resultados opostos ao esperado e uma acao nao apresenta resultado estatisticamente significativo. \u0000 \u0000English Abstract: This paper studies the effects of the new legislation applied to state-owned enterprises in Brazil. In particular, it analyzes whether this new law, by promoting corporate governance gains, leads to a reduction in the perception of risks in its management and, therefore, in the volatility of the stock returns of these companies. For this, synthetic control estimators are used according to the ArCo (Artificial Counterfactual) methodology, using high-dimensional panel time-series data, from 2011 to 2018. Our results show that thirteen out of twenty stocks present a reduction in their volatility, six out of twenty stocks have conflicting results and one stock does not present a statistically significant result.","PeriodicalId":282044,"journal":{"name":"Political Economy: Fiscal Policies & Behavior of Economic Agents eJournal","volume":"11 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2019-06-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"125465574","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}

{"title":"Election Timings under Globalization: A Tax Competition Approach","authors":"Taiki Susa","doi":"10.2139/ssrn.3383324","DOIUrl":"https://doi.org/10.2139/ssrn.3383324","url":null,"abstract":"This paper examines how the results of elections in a country are affected by their relative timing. Particularly, I focus on the types of policymakers in terms of capital endowment for the framework of strategic delegation under tax competition. The game is composed of three stages: i) an election is held in the first-mover country and a policymaker is chosen by majority voting; ii) similarly, an election to choose a policymaker is held in the second-mover country; and iii) capital tax rates are simultaneously determined by the policymakers of both countries. As a result, it is indicated that the policymaker elected through voting by citizens in the first-mover country is likely to be less capital-rich, or relatively more left-winged, compared to that in the second-mover country. However, when income disparity within country is sufficiently large, the second-mover country becomes more redistributive.","PeriodicalId":282044,"journal":{"name":"Political Economy: Fiscal Policies & Behavior of Economic Agents eJournal","volume":"30 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2019-05-06","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"122877002","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}

{"title":"Tax Compliance and Investment Incentives: Firm Responses to Accelerated Depreciation in China","authors":"Ziying Fan, Yu Liu","doi":"10.2139/ssrn.3374738","DOIUrl":"https://doi.org/10.2139/ssrn.3374738","url":null,"abstract":"Abstract We evaluate the effects of a Chinese accelerated depreciation policy that occurred in 2014 on firm investment. We present three findings. First, on average, the policy increased firms’ investment in eligible capital, especially the purchase of equipment and machines. Second, the policy effects are stronger for larger firms, firms with more cash, and firms with better access to finance, which tend to be less financially constrained but have better tax compliance. Third, the effect magnitude increases with imputed county tax enforcement but decreases with provincial tax fraud rate. These results shed light on the importance of improving tax compliance in making tax incentives effective.","PeriodicalId":282044,"journal":{"name":"Political Economy: Fiscal Policies & Behavior of Economic Agents eJournal","volume":"19 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2019-04-20","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"132686411","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}

{"title":"Tax Policy for Innovation","authors":"Bronwyn H Hall","doi":"10.3386/W25773","DOIUrl":"https://doi.org/10.3386/W25773","url":null,"abstract":"A large number of countries around the world now provide some kind of tax incentive to encourage firms to undertake innovative activity. This paper presents the policy rationale for these incentives, discusses their design and potential effectiveness, and reviews the empirical evidence on their actual effectiveness. The focus is on the two most important and most studied incentives: R&D tax credits and super deductions, and IP boxes (reduced corporate taxes in income from patents and other intellectual property).","PeriodicalId":282044,"journal":{"name":"Political Economy: Fiscal Policies & Behavior of Economic Agents eJournal","volume":"19 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2019-04-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"131551954","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}

{"title":"The Impact of Policy Awareness: Evidence from Vehicle Choices Response to Fiscal Incentives","authors":"Davide Cerruti, Claudio Daminato, M. Filippini","doi":"10.2139/ssrn.3358407","DOIUrl":"https://doi.org/10.2139/ssrn.3358407","url":null,"abstract":"Isolating the role of limited knowledge, psychological frictions and policy characteristics is key when evaluating a public program and designing future policies. This paper explores the role of awareness about the presence of fiscal programs in determining their impact on individual choices. Our identification strategy exploits quasi-experimental variation in the introduction of fiscal incentives aimed at promoting the purchase of energy efficient vehicles, and a direct measure of policy awareness at the individual level. We find an important impact of awareness on consumers’ vehicle choices, highlighting that limited awareness may represent a critical barrier to the effectiveness of public programs.","PeriodicalId":282044,"journal":{"name":"Political Economy: Fiscal Policies & Behavior of Economic Agents eJournal","volume":"4 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2019-03-22","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"128928762","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}

{"title":"Does Mandating Social Insurance Affect Entrepreneurial Activity?","authors":"Youssef Benzarti, J. Harju, Tuomas Matikka","doi":"10.2139/ssrn.3410779","DOIUrl":"https://doi.org/10.2139/ssrn.3410779","url":null,"abstract":"This paper estimates the effect of relaxing the social insurance mandate on entrepreneurial activity using rich administrative data from Finland. We find that relaxing the social insurance mandate leads entrepreneurs to reduce their contributions by 16 percent, which they channel instead into their firms. While young firms use the saved cash to increase their sales by 11 percent and labor costs by 6 percent, older firms use it to improve their net lending position by purchasing stocks. Our results imply that the impact of the social insurance mandate on business activity is heterogeneous and depends on the age of the firm. (JEL H55, J32, L26)","PeriodicalId":282044,"journal":{"name":"Political Economy: Fiscal Policies & Behavior of Economic Agents eJournal","volume":"26 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2019-03-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"114668579","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}

{"title":"Foreign Assistance and Emigration: Accounting for the Role of Non-Transferred Aid","authors":"M. Lanati, R. Thiele","doi":"10.2139/ssrn.3344414","DOIUrl":"https://doi.org/10.2139/ssrn.3344414","url":null,"abstract":"Since policymakers increasingly regard foreign aid as a means to manage international flows of migrants, it is important to obtain accurate empirical evidence on the complex link between aid and migration. Recent research has shown that the impact of foreign assistance on migrant flows is highly heterogenous across aid categories. In this paper, we focus on a dimension of heterogeneity that has so far not been considered in the literature, namely whether or not the delivery of foreign aid is associated with a transfer of resources to the recipient country. We show in a first step that non-transferred aid is quantitatively important, accounting for more than 25 percent of overall aid given by OECD DAC donors in 2016. Running separate gravity-type regressions for transferred and non-transferred aid, we then find that transferred aid has a much stronger (negative) impact on migration than the previously used total aid variable that includes the non-transferred component. As may be expected, non-transferred aid itself does not appear to affect migrant flows. A high share of non-transferred aid would therefore be at odds with donors’ stated goal of tackling the root causes of migration.","PeriodicalId":282044,"journal":{"name":"Political Economy: Fiscal Policies & Behavior of Economic Agents eJournal","volume":"174 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2019-02-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"127657644","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}

{"title":"Perceptions of Corruption and Tax Non-Compliance Behaviour: Policy Implications for Developing Countries","authors":"Arifin Rosid, C. Evans, B. Tran-Nam","doi":"10.2139/ssrn.3317994","DOIUrl":"https://doi.org/10.2139/ssrn.3317994","url":null,"abstract":"Tax non-compliance and perceptions of corruption are key challenges to state-building in developing countries. Using a social psychology approach, we develop a theoretical model in which different forms of perceived corruption can adversely influence the way individual taxpayers behave. We then apply this model to Indonesia, placing our empirical findings in the context of compliance risk management, identifying strategies to improve tax compliance, and exploring how to implement these strategies effectively. We shed light on the applicability of the traditional responsive regulatory approach (used by revenue authorities to deal with intentionally non-compliant taxpayers), which combines measures in attempting to achieve either voluntary or enforced compliance. While the empirical evidence is based on the Indonesian experience, we suggest that our model is sufficiently general and robust to be applicable to other developing countries in the Asia-Pacific region.","PeriodicalId":282044,"journal":{"name":"Political Economy: Fiscal Policies & Behavior of Economic Agents eJournal","volume":"66 3 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2019-01-18","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"126396783","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}

{"title":"R&D Offshoring and Home Industry Productivity","authors":"Gaétan de Rassenfosse, Russell Thomson","doi":"10.2139/ssrn.2812184","DOIUrl":"https://doi.org/10.2139/ssrn.2812184","url":null,"abstract":"\u0000 Offshoring research and development (R&D) commonly invokes concerns regarding the loss of high value jobs and a hollowing out of technological capabilities, but it can also benefit domestic firms by enabling them to tap into the global technological frontier. We study the effect of R&D offshoring on industrial productivity in the home country using industry-level data for 18 OECD countries over a 26-year period. Simultaneity between productivity and R&D offshoring is addressed by using foreign tax policy as an instrument for offshored R&D. We show that R&D offshoring contributes positively to productivity in the home country, irrespective of the host country destination.","PeriodicalId":282044,"journal":{"name":"Political Economy: Fiscal Policies & Behavior of Economic Agents eJournal","volume":"24 2 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2018-12-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"121623737","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}

{"title":"Partial Repeal of Foreign Tax Credits by the Tax Cuts and Jobs Act: Resulting Behavioral Incentives, Self-Help, and New Mechanics for Some Remaining Portions of the Credit","authors":"R. Rosenberg","doi":"10.2139/SSRN.3254310","DOIUrl":"https://doi.org/10.2139/SSRN.3254310","url":null,"abstract":"The new Tax Cuts and Jobs Act repeals approximately one-third of the foreign tax credit system. (The foreign tax credit generally reduces U.S. tax by the amount of the U.S. taxpayer’s foreign income taxes, subject to many requirements.) Essentially, partial repeal will make it much harder to claim credits for foreign taxes imposed on a foreign subsidiary’s active income, other than limited credits for certain foreign taxes associated with the newly created GILTI (“global intangible low-taxed income”) inclusion. \u0000However, taxpayers are likely to engage in self-help by creating do-it-yourself replacements for the repealed provision. These self-help strategies may use hybrid entities (entities treated differently under U.S. and foreign law) and the legal liability rule’s deference to the relevant foreign law’s determination of which taxpayer bears the foreign tax. Absent such self-help, partial repeal of the foreign tax credit is likely to change taxpayer behavior, because it alters the incentives for choosing between locations for earning income. Foreign tax rates are now more likely, compared to pre-2018 taxable years, to make a difference when taxpayers choose between doing business in the U.S. and doing business abroad, and between various foreign countries. The net result may be an incentive to earn active income in low-tax foreign countries, rather than in the U.S. or in high-tax foreign countries. \u0000In addition, the mechanics have drastically changed for one of the remaining portions of the foreign tax credit. The “deemed paid” credit for certain foreign subsidiaries’ foreign taxes, available in connection with a U.S. shareholder’s inclusion of the “subpart F” (usually passive-type) income of such subsidiaries, formerly cross-referenced a pro rata formula. That formula has been repealed. Now such deemed paid taxes will be computed using a completely different approach that requires identifying the “properly attributable” foreign taxes. Because this new concept is undefined, taxpayers can take aggressive interpretations of the new standard until agency guidance is issued.","PeriodicalId":282044,"journal":{"name":"Political Economy: Fiscal Policies & Behavior of Economic Agents eJournal","volume":"48 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2018-09-24","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"130429713","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}