This article formulates and estimates a model of state government to assess the effect of the elimination of state sales-tax deductibility on state fiscal decisions. Government is modeled as maximizing a social welfare function defined over public expenditures and taxes. The model yields a...

Empirical evidence on the relationship between trade liberalization, exchange rates, and tax revenue is mixed. This paper examines these linkages anew. Using a panel of 22 countries in Sub-Saharan Africa, over 1980–1996, we perform Generalized Method of Moment regressions to test this...