Abstract
This paper investigates how changes in the corporate income tax affect unemployment in Bangladesh. The impact of corporate taxation on unemployment has been analyzed in this paper by applying an Autoregressive Distributed Lag Model (ARDL) bound testing approach covering a period from 1991 to 2021. The results show that the corporate tax rate has no significant effect on unemployment levels both in the short run and the long run. In contrast, the economic growth of the country, together with the global economic growth, has a favorable impact on the employment situation of Bangladesh. But this relationship holds only in the short run.
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