Arbeitspapier

Growth in a Globalised Economy: The Effects of Capital Taxes and Tax Competition

This contribution provides evidence for the hypothesis that trade increases growth through its curbing effect on capital taxes. The analysed mechanism includes two different steps and considers the critical points of both the theoretical and empirical studies in this field. In particular, the estimation problems of omitted variables and parameter heterogeneity are addressed. Using panel data for a sample of 12 OECD countries in the time period 1967-1996, it is shown that the theoretical predictions can be corroborated by empirical results.

Language
Englisch

Bibliographic citation
Series: Economics Working Paper Series ; No. 03/24

Classification
Wirtschaft
Economic Growth of Open Economies
Economic Growth and Aggregate Productivity: General
State and Local Taxation, Subsidies, and Revenue
Subject
Trade and Growth
Tax Competition
OECD Countries
Wirtschaftswachstum
Globalisierung
Steuerwettbewerb
Kapitalertragsteuer
Schätzung
OECD-Staaten

Event
Geistige Schöpfung
(who)
Bretschger, Lucas
Event
Veröffentlichung
(who)
ETH Zurich, CER-ETH - Center of Economic Research
(where)
Zurich
(when)
2003

DOI
doi:10.3929/ethz-a-004526449
Handle
Last update
10.03.2025, 11:42 AM CET

Data provider

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Object type

  • Arbeitspapier

Associated

  • Bretschger, Lucas
  • ETH Zurich, CER-ETH - Center of Economic Research

Time of origin

  • 2003

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