Taxes and the price level : a further examination of the PPP hypothesis /
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| Author / Creator: | Kleiman, Ephraim, author. |
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| Imprint: | [Washington, D.C.?] : International Monetary Fund, Fiscal Affairs Department, [1993] |
| Description: | 1 online resource (iii, 44 pages) : illustrations |
| Language: | English |
| Series: | IMF working paper ; WP/93/5 IMF working paper ; WP/93/5. |
| Subject: | |
| Format: | E-Resource Book |
| URL for this record: | http://pi.lib.uchicago.edu/1001/cat/bib/12497798 |
| Summary: | The effects of taxation on the general price level have traditionally been regarded as reflecting monetary policy, rather than fiscal factors. This view abstracted from the possible endogeneity of monetary expansion with respect to tax hikes, and from the effects which taxation may have on the reserve price of entrepreneurial labor. An analysis of Purchasing Power Parity data for 51 countries from stage IV of the ICP project supports the hypothesis that domestic indirect taxes tend to raise the general price level. In contrast to the accepted view, other prices do not seem to decline to offset the effect of such taxes on the price of tradables. The paper also presents some new evidence on the other factors which cause national price levels to diverge from PPP. |
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| Physical Description: | 1 online resource (iii, 44 pages) : illustrations |
| Format: | Master and use copy. Digital master created according to Benchmark for Faithful Digital Reproductions of Monographs and Serials, Version 1. Digital Library Federation, December 2002. |
| Bibliography: | Includes bibliographical references (pages 42-44). |
| ISBN: | 1455275557 9781455275557 1462313787 9781462313785 145520806X 9781455208067 1281112836 9781281112835 9786613776402 6613776408 |