Showing 1 - 10 of 36
This paper focuses on the design of a consumption tax in a world of capital risk. The certainty literature discusses two standard options, namely the cash flow method and the pre-payment method (ie, the wage tax), and finds the two approaches to be equivalent. Models that consider capital risk...
Persistent link: https://www.econbiz.de/10005543564
The importance of capital loss offset provisions in a world of risk is well documented in the tax literature. However, the potential deadweight losses owing to imperfect offset has not been fully explored. This article develops a framework, whereby that investigation can be carried out, and uses...
Persistent link: https://www.econbiz.de/10010781791
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Persistent link: https://www.econbiz.de/10005771081
Public investment in infrastructure and the like do not usually yield direct pecuniary returns to the public exchequer. Instead public capital leads to increases in factor productivity in the private economy. This paper argues that government typically shares in the latter gains via the...
Persistent link: https://www.econbiz.de/10005749858
The importance of capital loss offset provisions in a world of risk is well documented in the tax literature. However, the potential deadweight losses owing to imperfect offset has not been fully explored. This paper develops a framework whereby that investigation can be carried out and utilizes...
Persistent link: https://www.econbiz.de/10005181329
This paper re-examines the issues involved in the design of a direct tax on consumption, an idea that has received a fair degree of acceptance in the transition countries over the past decade (e.g., tax reforms in Croatia and Moldova). First we argue that on the subject of equivalence among a...
Persistent link: https://www.econbiz.de/10005181576
In this article, the authors show that a wage tax, which neither alters the relative price of current versus future consumption nor distorts the relative expected return (vis-à-vis the cost) to investing in human capital, leads to biases at both these margins. The authors find that the common...
Persistent link: https://www.econbiz.de/10009294362
This study verifies whether the results of proportional capital income taxation on the risk-taking of a loss-averse investor will still hold when the return of a risky asset has a general continuous distribution. We extend the previous literature, which assumes a binomial distribution of asset...
Persistent link: https://www.econbiz.de/10011078513
Persistent link: https://www.econbiz.de/10005715494
This paper examines the double dividend hypothesis in the presence of labour income uncertainty. Empirical evidence shows that uncertainty over labour income is particularly significant in developing, while not negligible in developed countries. Under uncertainty, and assuming incomplete capital...
Persistent link: https://www.econbiz.de/10004985755