Income Tax, Property Tax and Tariff in a Small Open Economy
AbstractWhy do some countries enjoy high economic growth rates while some suffer in "low-growth traps"? Why are tax policies in different countries so different? Some suggest that it is exactly these differences in government policies which contribute to the difference in economic growth rates. This paper considers a small open economy which sustains its economic growth by adopting new technologies. When the value of initial wealth is "relatively small," policies which promote growth most result in the highest welfare. In other cases, policies that discourage growth most may be welfare-maximizing. Copyright 1999 by Blackwell Publishing Ltd.
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Bibliographic InfoPaper provided by Chinese University of Hong Kong, Department of Economics in its series Departmental Working Papers with number _104.
Date of creation: Nov 1998
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- Leung, Charles Ka Yui, 1999. "Income Tax, Property Tax, and Tariff in a Small Open Economy," Review of International Economics, Wiley Blackwell, vol. 7(3), pages 541-54, August.
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