This paper proposes a growth-oriented dual-income tax by combining an allowance for corporate equity with a broadly … demonstrates the neutrality properties of the reform with respect to investment, firm financial decisions and organizational choice …. Tax rates are chosen to prevent income shifting from labor to capital income. The reform decisively strengthens investment …

. We challenge this view by arguing that a number of judicial procedures foster economic growth by increasing the … predictability of court decisions, which leads to more transactions and higher investment levels. We investigate the effects on … economic growth of 15 judicial procedures. Employing a standard growth model, we find in a cross-section of 67 countries that …

, we show that more trust in a relationship is associated with higher idiosyncratic investment by suppliers and better part … relationships involving higher trust, buyers are able to induce higher investment and more intense competition among suppliers - but …

Macroeconomic and sector-specific shocks exert differential effects on investment in disaggregate sectoral data. The … monotonically. A calibrated model of investment with convex capital adjustment costs and rational inattention explains these … features of the data. The model matches the empirical responses of sectoral investment because learning about shocks generates …

The nexus between corruption and economic growth has been examined for a long time. Many empirical studies measured … 2012-2018 and re-examine the nexus between corruption and economic growth. The cumulative long-run effect of corruption on … growth is that real per capita GDP decreased by around 17% when the reversed CPI increased by one standard deviation. The …

This paper examines the impact of labour and product market reforms on economic growth in 25 OECD countries between … results suggest that product market reforms mostly cause slight negative growth, except when implemented during periods of … neutral fiscal policy. Labour market reforms hurt growth under tight and neutral fiscal policy but are conducive to economic …

and promotes growth. A stylized model is constructed to illustrate this type of hoarding behavior. The relevance of the … crisis period. Individual economy estimation results, however, show that the Joneses effect varies across economies …