Tax Policy Implications In Endogenous Growth Models
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Tax Policy Implications in Endogenous Growth Models
Author | : Bin Xu |
Publisher | : International Monetary Fund |
Total Pages | : 40 |
Release | : 1994-03-01 |
Genre | : Business & Economics |
ISBN | : 1451977557 |
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This paper surveys the tax policy implications in various endogenous growth models. The focus is on the long-run growth effects of income, consumption, and investment taxation in models whose engine of growth is the accumulation of human capital, technological innovation, and/or public infrastructure. The results depend on model specifications. This paper also reviews quantitative results from cross-country regressions and simulations, and indicates some statistical and methodological problems to which they are subject. Tax policy implications in endogenous growth models both with tax policy endogenously determined by a political process and with international capital mobility are also discussed.
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