Aizenman, Joshua; Gavin, Michael; Hausmann, Ricardo - In: The Journal of International Trade & Economic Development 9 (2001) 4, pp. 367-395
This paper studies the patterns of optimal tax rates and borrowing in a developing country characterized by a costly tax collection. Its access to the international credit market is determined by the efficiency of the tax system, the relative bargaining power of creditors, and the outstanding...