The taxation of corporate assets is well understood to influence investment and firm valuation. This paper explores the … incentives than those implied by the usual static analysis. Simulation results suggest that investment is sensitive to future tax …

inflation rate, with and with- out an increase in the risk premium on equities, was then simulated with a number of model … cost was 3 percentage points less than that for corporate capital) and the manner in which inflation magnifies it (the … finance instruments would overcome this reallocation but at the expense of corporate capital. Only a reduction in inflation or …

This paper presents econometric evidence on the effect of tax incentives on business Investment in the United States in … the period from 1953 through1978. The analysis emphasizes that the Interaction of inflation and existing tax rules has … contributed substantially to the decline of business investment since the late 1960's.Because the investment process is far too …

's q theory of investment. As Tobin has explained, aggregate investment can be expected to depend in a stable way on q, the … return on physical capital raise its market value and cause increased investment until equilibrium is restored. Although … models linking the stock market to investment have been estimated, they have not previously been used to examine the impact …

Three ways of averting "excess saving" have been emphasized in both theory and practice. The thrust of the Keynesian … consumption or investment. In this way, aggregate demand would be maintained by substituting public consumption for private … JamesTobin, relies on increasing the rate of inflation and making money less attractive relative to real capital. In Tobin …

This paper derives analytical measures of the combined effects of tax changes and adjustment costs on investment and …

We present a model of endogenous firm growth with R&D investment and stochastic innovation as the engines of growth …) firm growth independent of firm size, as stated in the so-called Gibrat's law, and (iii) R&D investment proportional to …. The model for firm growth is a partial equilibrium model drawing on the quality ladder models in the macro growth …

over 14% of GDP in Europe in the 1970s to 9.9% in the 1980s -- may not only create lower real incomes and slower growth but … may weaken capitalism itself. In the US a decade of slow growth has increased protectionist tendencies in international … technology of private investment. Government policies that discourage saving might make the Schumpeterian vision of a shift from …

show that this prediction holds well. Payout taxes have a large impact on the dynamics of corporate investment and growth … taxes may thus change the investment behavior of firms. Using an international panel with many changes in payout taxes, we …. Investment is "locked in" in profitable firms when payout is heavily taxed. Thus, apart from any aggregate effects, payout taxes …