IDEAS home Printed from https://ideas.repec.org/p/ags/uersmp/324767.html
   My bibliography  Save this paper

The Value-Added Tax and American Agriculture

Author

Listed:
  • Woods, W. Fred

Abstract

A value-added tax (VAT) has been mentioned as an alternative to increasing Federal taxes. Since the Common Market has implemented such a tax, current literature draws heavily upon the EC experience. However, differences between U.S. and Common Market conditions have led to confusion over the nature of a value-added tax and its possible use in this country. Exactly how the VAT would affect various sectors of the U.S. economy would depend in part upon the method used to calculate the tax and the Government's method of imposing the tax. Adoption of a new tax such as a VAT might give the United States the opportunity to undertake desired reforms in its tax structure without either increasing the impact of present taxes on taxpayers or reducing total Federal tax revenues. Should a U.S. value-added tax be adopted, farmers should, to the greatest possible extent, be full participants in the tax plan for best results. For instance, exemption for farmers would penalize them since they would have no means of claiming credit for taxes paid on inputs. At the same time, recognition of special characteristics of agriculture is necessary, particularly where small farmers are concerned.

Suggested Citation

  • Woods, W. Fred, 1974. "The Value-Added Tax and American Agriculture," Miscellaneous Publications 324767, United States Department of Agriculture, Economic Research Service.
    • Handle: RePEc:ags:uersmp:324767
    DOI: 10.22004/ag.econ.324767
    as

    Download full text from publisher

    File URL: https://ageconsearch.umn.edu/record/324767/files/ERS-540.pdf
    Download Restriction: no
    File URL: https://libkey.io/10.22004/ag.econ.324767?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Eisner, Robert, 1971. "What Went Wrong?," Journal of Political Economy, University of Chicago Press, vol. 79(3), pages 629-641, May-June.
    2. Thomas S. Adams, 1921. "Fundamental Problems of Federal Income Taxation," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 35(4), pages 527-556.
    3. Lindholm, Richard W, 1970. "The Value Added Tax: A Short Review of the Literature," Journal of Economic Literature, American Economic Association, vol. 8(4), pages 1178-1189, December.
    4. GUILLAUME, Yvan & WAELBROECK, Jean, 1972. "Impact of the added value tax on an economy: The case of Belgium," LIDAM Reprints CORE 110, Université catholique de Louvain, Center for Operations Research and Econometrics (CORE).
    5. Guillaume, Y. & Waelbroeck, J., 1972. "Impact of the added value tax on an economy; The case of Belgium," European Economic Review, Elsevier, vol. 3(1), pages 91-108.
    6. Coffman, George W., 1971. "Corporations with Farming Operations," Agricultural Economic Reports 307443, United States Department of Agriculture, Economic Research Service.
    7. Brittain, John A, 1971. "The Incidence of Social Security Payroll Taxes," American Economic Review, American Economic Association, vol. 61(1), pages 110-125, March.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Bell, Bonita, 1975. "Economics of Agriculture: Reports and Publications Issued or Sponsored by USDA's Economic Research Service, July 1973-June 1974," Miscellaneous Publications 321806, United States Department of Agriculture, Economic Research Service.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Willem Thorbecke, 2002. "A Dual Mandate for the Federal Reserve: The Pursuit of Price Stability and Full Employment," Eastern Economic Journal, Eastern Economic Association, vol. 28(2), pages 255-268, Spring.
    2. Ernesto Longobardi, 2014. "At the Origin of Italian VAT: an Early Proposal of a Dual System of Consumption Taxation," ECONOMIA PUBBLICA, FrancoAngeli Editore, vol. 2014(3), pages 177-199.
    3. Kevin J. Murphy, 2003. "A General Equilibrium Model of the Payroll Tax Incidence of State Unemployment Insurance Systems," Public Finance Review, , vol. 31(1), pages 44-65, January.
    4. Matthieu Bunel & Fabrice Gilles & Yannick L'Horty, 2009. "The effect of social security payroll tax reductions on employment and wages: an evaluation of the 2003 French reform," Working Papers hal-01292089, HAL.
    5. Popp, Martin, 2023. "How elastic is labor demand? A meta-analysis for the German labor market," Journal for Labour Market Research, Institut für Arbeitsmarkt- und Berufsforschung (IAB), Nürnberg [Institute for Employment Research, Nuremberg, Germany], vol. 57, pages 1-14.
    6. Nadine Levratto & Aziza Garsaa & Luc Tessier, 2013. "To what extent do exemptions from social security contributions affect firm growth? New evidence using quantile estimations on panel data," Working Papers hal-00833049, HAL.
    7. Fullerton, Don & Metcalf, Gilbert E., 2002. "Tax incidence," Handbook of Public Economics, in: A. J. Auerbach & M. Feldstein (ed.), Handbook of Public Economics, edition 1, volume 4, chapter 26, pages 1787-1872, Elsevier.
    8. Murphy, Kevin J., 2007. "The impact of unemployment insurance taxes on wages," Labour Economics, Elsevier, vol. 14(3), pages 457-484, June.
    9. Antoine Bozio & Malka Guillot & Quentin Laffeter, 2015. "Portée et limites du modèle Taxipp pour l’analyse redistributive des prélèvements obligatoires," Économie et Statistique, Programme National Persée, vol. 481(1), pages 31-52.
    10. Michael J. Boskin, 1975. "Social Security and Retirement Decisions," NBER Working Papers 0107, National Bureau of Economic Research, Inc.
    11. Matthieu Bunel & Fabrice Gilles & Yannick L’Horty, 2009. "Les effets des allègements de cotisations sociales sur l’emploi et les salaires : une évaluation de la réforme Fillon de 2003," Documents de recherche 09-12, Centre d'Études des Politiques Économiques (EPEE), Université d'Evry Val d'Essonne.
    12. Sara Torregrosa Hetland, 2015. "Did democracy bring redistribution? Insights from the Spanish tax system, 1960–90," European Review of Economic History, Oxford University Press, vol. 19(3), pages 294-315.
    13. Ronald Hoffman & Mickey D. Levy, 1984. "Economic And Budget Issues For Deficit Policy," Contemporary Economic Policy, Western Economic Association International, vol. 3(1), pages 96-114, September.
    14. Mathieu Bunel & Yannick L'Horty, 2012. "The Effects of Reduced Social Security Contributions on Employment: An Evaluation of the 2003 French Reform," Fiscal Studies, Institute for Fiscal Studies, vol. 33(3), pages 371-398, September.
    15. Scherer, C.R., 2015. "Payroll tax reduction in Brazil : Effects on employment and wages," ISS Working Papers - General Series 602, International Institute of Social Studies of Erasmus University Rotterdam (ISS), The Hague.
    16. Brake, John R. & Melichar, Emanuel, 1977. "Agricultural Finance and Capital Markets," A Survey of Agricultural Economics Literature, Volume 1: Traditional Fields of Agricultural Economics 1940s to 1970s,, Agricultural and Applied Economics Association.
    17. Ángel Melguizo & José González-Páramo, 2013. "Who bears labour taxes and social contributions? A meta-analysis approach," SERIEs: Journal of the Spanish Economic Association, Springer;Spanish Economic Association, vol. 4(3), pages 247-271, August.
    18. Andrew C. Johnston, 2021. "Unemployment Insurance Taxes and Labor Demand: Quasi-Experimental Evidence from Administrative Data," American Economic Journal: Economic Policy, American Economic Association, vol. 13(1), pages 266-293, February.
    19. José L. Torres, 2022. "Social security contributions distribution and economic activity," International Tax and Public Finance, Springer;International Institute of Public Finance, vol. 29(2), pages 378-407, April.
    20. John B. Hagens & John C. Hambor, 1980. "The Macroeconomic Effects of a Payroll Tax Rollback," Eastern Economic Journal, Eastern Economic Association, vol. 6(1), pages 21-32, January.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ags:uersmp:324767. See general information about how to correct material in RePEc.

    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 CitEc recognized a bibliographic reference but did not link an item in RePEc 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 RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: AgEcon Search (email available below). General contact details of provider: https://edirc.repec.org/data/ersgvus.html .

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

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.