Advanced Search
MyIDEAS: Login to save this paper or follow this series

Strategic Business Taxation when Finance and Portfolio Decisions are Endogenous

Contents:

Author Info

  • Andreas Wagener

Abstract

The paper analyzes the impact of personal income taxes on strategic business taxation. It sets up a model of tax competition between small jurisdictions whose governments are revenue maximizers and use business taxes on the capital stock and on corporate profits as their policy instruments. Personal income taxes, which are parametrically fixed, discriminate between dividends and interest incomes and determine portfolio choices of households and finance decisions of firms. It turns out that the strategic incentives in business taxation are strongly influenced by personal income tax parameters. In the case of profit taxation this influence is non- monotonic and discontinuous. Generally, Leviathan governments prefer fully equity financed firms. It can be shown that from a government viewpoint profit and capital taxes are perfect substitutes as they create identical strategic incentives.

Download Info

To our knowledge, this item is not available for download. To find whether it is available, there are three options:
1. Check below under "Related research" whether another version of this item is available online.
2. Check on the provider's web page whether it is in fact available.
3. Perform a search for a similarly titled item that would be available.

Bibliographic Info

Paper provided by Universität Siegen, Fakultät Wirtschaftswissenschaften, Wirtschaftsinformatik und Wirtschaftsrecht in its series Volkswirtschaftliche Diskussionsbeiträge with number 63-97.

as in new window
Length: 28 pages
Date of creation: Oct 1997
Date of revision:
Handle: RePEc:sie:siegen:63-97

Contact details of provider:
Postal: Hölderlinstr. 3, D - 57068 Siegen
Phone: ++49 (0)271 740-3139
Fax: ++49 (0)271 740-2590
Email:
Web page: http://www.uni-siegen.de/fb5/vwl/research/diskussionsbeitraege/
More information through EDIRC

Related research

Keywords:

Find related papers by JEL classification:

This paper has been announced in the following NEP Reports:

References

No references listed on IDEAS
You can help add them by filling out this form.

Citations

Lists

This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

Statistics

Access and download statistics

Corrections

When requesting a correction, please mention this item's handle: RePEc:sie:siegen:63-97. See general information about how to correct material in RePEc.

For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Michael Gail).

If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

If references are entirely missing, you can add them using this form.

If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.

If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.

Please note that corrections may take a couple of weeks to filter through the various RePEc services.