cost of the tax system that underlies the state - tax payer interaction. In this way we develop a channel through which the … determinants (the transaction cost, the tax rates and the debt level). The analysis is carried out in a framework of a monetary …

particular tax– policy on economic activity and tax revenue. We add an informal sector to the Bank of Greece DSGE model and use … tax rates increased by much more and tax revenue by much less than predicted. The model replicates the official output …

discipline, the budget deficit as a share of gross domestic product. Drawing from simulation evidence of the German economy, it …

-instrumental variables. Tax shocks and government spending shocks that raise the government budget deficit lead to persistent current account … deficits. In particular, the negative response of the current account to exogenous tax reductions through a surge in the demand … current account is amplified when the tax reduction is due to lower personal income taxes and when the government increases …