Arbeitspapier
The debt tax shield, economic growth and inequality
We study the implications of the corporate debt tax shield in a growth economy that taxes household income and firm profits and redistributes tax revenues in an attempt to harmonize the lifetime consumption opportunities of households that differ in their endowments. Our model predicts that the debt tax shield (1) increases the risk-free rate, (2) leads to a higher growth rate of the economy, and (3) increases the degree of disparity in households' lifetime consumption opportunities. We further show that the debt tax shield affects the tradeoff between the goals of achieving a high growth rate of the economy and a low degree of inequality and quantify this tradeoff.
- Sprache
-
Englisch
- Erschienen in
-
Series: arqus Discussion Paper ; No. 219
- Klassifikation
-
Wirtschaft
Macroeconomics: Consumption; Saving; Wealth
Macroeconomics: Production
Portfolio Choice; Investment Decisions
Taxation and Subsidies: Externalities; Redistributive Effects; Environmental Taxes and Subsidies
Fiscal Policies and Behavior of Economic Agents: Household
Fiscal Policies and Behavior of Economic Agents: Firm
- Thema
-
debt tax shield
macroeconomic growth
redistributive tax system
- Ereignis
-
Geistige Schöpfung
- (wer)
-
Fischer, Marcel
Jensen, Bjarne Astrup
- Ereignis
-
Veröffentlichung
- (wer)
-
Arbeitskreis Quantitative Steuerlehre (arqus)
- (wo)
-
Berlin
- (wann)
-
2017
- Handle
- Letzte Aktualisierung
-
10.03.2025, 11:44 MEZ
Datenpartner
Dieses Objekt wird bereitgestellt von:
ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. Bei Fragen zum Objekt wenden Sie sich bitte an den Datenpartner.
ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. Bei Fragen zum Objekt wenden Sie sich bitte an den Datenpartner.
Objekttyp
- Arbeitspapier
Beteiligte
- Fischer, Marcel
- Jensen, Bjarne Astrup
- Arbeitskreis Quantitative Steuerlehre (arqus)
Entstanden
- 2017
Ähnliche Objekte (12)
A Simple Accounting-based Valuation Model for the Debt Tax Shield
A Simple Accounting-Based Valuation Model for the Debt Tax Shield
Tax Shield, Insolvenz und Zinsschranke
Tax Shield, Insolvenz und Zinsschranke
Tax policy assessment in Slovenia: Case of interest tax shield
The tax shield increases the interest rate
Do firms earn the cost of capital due to tax shields of debt and provisions? : German evidence
Austerity, Inequality, and Private Debt Overhang
Austerity, inequality and private debt overhang
Austerity, inequality and private debt overhang
Tax Evasion and Inequality
Tax Evasion and Inequality
A Simple Accounting-based Valuation Model for the Debt Tax Shield
A Simple Accounting-Based Valuation Model for the Debt Tax Shield
Tax Shield, Insolvenz und Zinsschranke
Tax Shield, Insolvenz und Zinsschranke
Tax policy assessment in Slovenia: Case of interest tax shield
The tax shield increases the interest rate
Do firms earn the cost of capital due to tax shields of debt and provisions? : German evidence
Austerity, Inequality, and Private Debt Overhang
Austerity, inequality and private debt overhang
Austerity, inequality and private debt overhang
Tax Evasion and Inequality
Tax Evasion and Inequality
A Simple Accounting-based Valuation Model for the Debt Tax Shield
A Simple Accounting-Based Valuation Model for the Debt Tax Shield
Tax Shield, Insolvenz und Zinsschranke
Tax Shield, Insolvenz und Zinsschranke
Tax policy assessment in Slovenia: Case of interest tax shield
The tax shield increases the interest rate
Do firms earn the cost of capital due to tax shields of debt and provisions? : German evidence
Austerity, Inequality, and Private Debt Overhang
Austerity, inequality and private debt overhang
Austerity, inequality and private debt overhang
Tax Evasion and Inequality