Business perceptions, fiscal policy and growth

Arbeitspapier

This paper develops endogenous growth models in which the government uses income taxation to finance different types of public services, public investment, or both. The paper then assesses the merits of business perceptions of alternative fiscalpolicy related growth constraints as guides for imperfectly informed governments. The models demonstrate that business perceptions may be misleading except when firms compare different types of public services or different types of public capital. It is also shown that the theoretical predictions regarding how firms most likely rank constraints correspond fairly well to the ranking of constraints by firms in the World Bank's Enterprise Surveys.

Object Details

• Language: Englisch

References and Relationships

• Bibliographic citation: Series: CREDIT Research Paper ; No. 08/10

Classification and Topics

• Classification: Wirtschaft ; Fiscal Policy ; Taxation and Subsidies: Efficiency; Optimal Taxation ; National Government Expenditures and Related Policies: General ; Economic Growth and Aggregate Productivity: General
• Subject: Economic Growth ; Productive Public Spending ; Imperfectly Informed Governments ; Optimal Fiscal Policy ; Constraints to Growth ; Investment Climate Assessments ; Öffentliche Finanzwirtschaft ; Unvollkommene Information ; Öffentliche Ausgaben ; Einkommensteuer ; Unternehmensplanung ; Investitionsklima ; Wirtschaftswachstum

Contributors, Places and Time

• Event: Geistige Schöpfung
• (who): Misch, Florian ; Gemmell, Norman ; Kneller, Richard
• Event: Veröffentlichung
• (who): The University of Nottingham, Centre for Research in Economic Development and International Trade (CREDIT)
• (where): Nottingham
• (when): 2008

Further information

• Handle: http://hdl.handle.net/10419/65456
• Last update: 10.03.2025, 11:43 AM CET