Search Results

SORT BY: PREVIOUS / NEXT
Keywords:Business Taxation 

Working Paper
Tax Heterogeneity and Misallocation

There is substantial asymmetry in effective corporate income tax rates across firms. While tax asymmetries would reduce productivity in frictionless economies, they can improve efficiency in a distorted economy if taxes alleviate other economic frictions. We develop a framework to estimate to what extent tax asymmetries affect productivity in distorted economies. Using US firm-level balance sheet data alongside measures of effective marginal tax rates, we find a positive correlation between tax rates and factor productivity, suggesting that tax asymmetry exacerbates the distortions from other ...
International Finance Discussion Papers , Paper 1393

FILTER BY Content Type

FILTER BY Author

FILTER BY Jel Classification

E23 1 items

H25 1 items

O47 1 items

FILTER BY Keywords

PREVIOUS / NEXT