Part Of Fiscal Policy Research Articles

National Ecomonic Practicies: Influence of Tax Policies on the Economic Processes of the Old and the New EU Democracies

The European Union operates within the framework of monetary and fiscal policy in accordance with uniform rules, but there is also a region where this rule is not applied. Direct tax policy as part of fiscal policy belongs exclusively to the competence of the individual national economies. Thus, the tax policy of direct taxes (specifically corporate tax) is the result of political decision-making processes at the national levels. The research focuses on 8 EU countries of two groups (old and new democracies). The aim of the article is to identify the potential impact of corporate taxes on the stock market, emphasizing the differences between the old and the new EU democracies. Therefore, the hypothesis verified here is that the tax policy, represented by the corporate tax rate, has a significant effect on the stock market. Thus, the article clearly focuses on the interconnection of political and economic decision-making processes and their impact on the business environment in chosen countries. The main finding is that, in old democracies, the impact of corporate tax rates on stock markets is generally higher than in new democracies.

Government Health Expenditures on Economic Growth in ASEAN-9 Countries

Government expenditure is one of the part of fiscal policy that governs the economy for the realization of people's welfare and the stability of economic activity. One of the government expenditures is used for the health sector, where health is one of important indicator as an effort in realizing public health development. Accordingly, this study aims to analyze the effect of government health expenditure on economic growth in ASEAN-9 countries. This paper based on panel data of a sample of 9 countries in ASEAN that consist of Indonesia, Malaysia, Singapore, Thailand, Philippines, Brunei Darussalam, Myanmar and Cambodia, using data for the period 2000-2019. The best selection model in this paper is fixed effect model. Empirical results find that health expenditure of GDP have a positive effect to economic growth. Then, the health expenditure of pocket and population have a negative significant effect on economic growth. However, the health expenditure per capita and health expenditure government have no significant effect on economic growth. This suggests that there needs to be an increased of focus on investment and the speed of developing medical services and public health efficiency so as to improve public health and economic growth.

The time-varying dynamics of systematic fiscal policy

ABSTRACT Against the background of deepening public finance reforms in China, this paper applies the time-varying parameter techniques to investigate the underlying structural variation in the systematic part of fiscal policy. Although the degree of activism of systematic fiscal policy to inflation is estimated to remain in a mostly stable regime, the findings reveal a trend towards a less systematic and predictable policy behaviour to output stabilization over the past few years. The dynamic relationship implies that the counter-cyclical policy capacity has been attenuated, and systematic fiscal policy becomes less effective at restraining uncertainties about the functioning of the economy.

EVALUASI PERHITUNGAN DAN PENYETORAN PAJAK PENGHASILAN PASAL 22 ATAS PENGADAAN BARANG PADA KANTOR PELAYANAN PERBENDAHARAAN NEGARA (KPPN) KOTAMOBAGU

The Indonesian government requires a significant amount of funds for the national development process both at the central and regional levels. For welfare and prosperity, it can help, one of the efforts to realize national development as the case with domestic resources consisting of taxes. One of the taxes set by the government is the tax that is imposed on the tax that is said to be received in the tax year or can also be taxed on translation in part of the tax year. The taxation included in Article 22 of Income Tax is also not part of fiscal policy, because it is a type of tax requested by the government. Article 22 of the procurement tax on the procurement of goods in the municipal treasury office in Kotamobagu is in accordance with the prevailing laws and regulations, taxation regulations and transfers. Descriptive qualitative method used in this study with data collection techniques consisting of interviews, documentation and observation. Data that has been collected from informants is then completed with the stages of data reduction, data presentation and conclusion completion. The results of the study found that KPPN at Kotamobagu City in the PPh article 22 was appropriate and some was not in accordance with Law No. 36 of 2008 concerning tax translation and Regulation of the Minister of Finance No. 34/PMK.010/2017 concerning tax collection Learn article 22 regarding payment or delivery of goods and activities in important fields or business activities in other fields. KPPN is not consistent with Minister of Finance Regulation No. 34/PMK.010/2017 concerning tax collection which addresses article 22.

Dynamics of prices and consumption of unhealthy foods as a monitoring tool of the strategy against obesity in Mexico

INTRODUCTION: Mexico faces an epidemic of overweight and obesity, in 2018 75% of adults were overweight or obese. This condition as a risk factor generates a significant financial impact in the Health Sector. In response, the National Strategy for Prevention and Control of Overweight, Obesity, and Diabetes was implemented in 2013, which included as one of its pillars the implementation of fiscal policies. As part of fiscal policy, taxes were established on sugary drinks and foods with high-calorie content. Seven years after the implementation of the Strategy to control the epidemic of overweight and obesity, there have been some results. However, it is necessary to continue working and especially monitoring the performance of the different actions implemented.OBJECTIVES: Propose an analytical intelligence model for monitoring the fiscal policies implemented to control overweight and obesity in Mexico.METHODS: The proposed analytical intelligence model considers three methodological bases, a) price index of healthy and unhealthy foods through Principal Component Analysis, b) volatility measurement of both baskets through a GARCH model and c) monitoring of consumption patterns through household income and expenditure surveys.RESULTS: The main results identified a price differential between the baskets of products healthy and unhealthy, especially at the beginning of the fiscal policy. Healthy products have higher price volatility than unhealthy products and according to consumption patterns, on average Mexican households spend 30% of their food expenditure on unhealthy products.CONCLUSION: To strengthen fiscal actions to control overweight and obesity, it is recommended to have monitoring systems for the dynamic design and implementation of public policies. Although taxes have reduced in some grade the consumption of unhealthy products, it is necessary to promote the affordability of healthy products, helping to improve the diet of Mexican households.

Optimal Dynamic Carbon Taxes in a Climate–Economy Model with Distortionary Fiscal Policy

Abstract How should carbon be taxed as a part of fiscal policy? The literature on optimal carbon pricing often abstracts from other taxes. However, when governments raise revenues with distortionary taxes, carbon levies have fiscal impacts. While they raise revenues directly, they may shrink the bases of other taxes (e.g. by decreasing employment). This article theoretically characterizes and then quantifies optimal carbon taxes in a dynamic general equilibrium climate–economy model with distortionary fiscal policy. First, this article establishes a novel theoretical relationship between the optimal taxation of carbon and of capital income. This link arises because carbon emissions destroy natural capital: they accumulate in the atmosphere and decrease future output. Consequently, this article shows how the standard logic against capital income taxes extends to distortions on environmental capital investments. Second, this article characterizes optimal climate policy in sub-optimal fiscal settings where income taxes are constrained to remain at their observed levels. Third, this article presents a detailed calibration that builds on the seminal DICE approach but adds features essential for a setting with distortionary taxes, such as a differentiation between climate change production impacts (e.g. on agriculture) and direct utility impacts (e.g. on biodiversity existence value). The central quantitative finding is that optimal carbon tax schedules are 8–24% lower when there are distortionary taxes, compared to the setting with lump-sum taxes considered in the literature.

Land taxation

Abstract The process of producing agricultural goods involves natural resources, cataloged as inputs. Neutral, the most important is the land, as the primary resource among seeds, land, agricultural machinery, fuel. The present paper will analyze how the land resource is taxed, the needs and opportunities of taxation, and what are the shortcomings of this niche. The study does not aim to deal exhaustively with the legislation related issues in this sector, but has in particular sought to identify future directions of development in terms of the ability of agricultural actors to cope with the commitments they have since they are owner of agricultural land. At the same time, the information resources landowners would need to help understand and overcome the tax obstacles that they live when they want to grow through acquisitions or expansions, will be considered. Taxes, as part of fiscal policy, part of the economic policy, are established instruments, considering the level of development and the state national economy. That’s why they differ from one country to another, relative to their level of development. In low-developed countries, a smaller redistribution of the Gross Domestic Product of Taxes is observed, through the state budget, to the situation of the developed countries.

FINANCIAL SECURITY OF STATE BUDGET INVESTMENT IN UKRAINE

Introduction. Modern globalization processes form a number of challenges for Ukraine's financial security, especially in the budget segment. This situation is conditioned by the negative dynamics of the development of the social and economic sphere, which is expressed, in particular, in the "chronic" deficit of the state budget. It is the main threat to the financial security of the country. As a result, the problem of the effectiveness of state budget investment, which is the foundation of economic growth and social development, is emerging. Purpose. The article aims to identify the main problems of functioning of state budget investment as an integral part of fiscal policy in the system of financial security of Ukraine. Method (methodology). To achieve this goal, the following general scientific and special methods are used: method of induction and deduction, logical generalization method, method of analysis and synthesis, method of comparison, method of grouping, graphic methods. Results. System of financial security has been characterized. Indicators of financial security of the state and its investment component have been analysed. The role of state budget investment in ensuring financial security of Ukraine has been explored. The system of state budget investment has been characterized. The actual problems and risks have been outlined on the way of its development. Means of effective use of budget funds of investment character have been offered.

Systems of general grants for local governments in selected EU countries against the background of the general theory of fiscal policy

Fiscal policy, including its expenditure aspect, is often discussed and analysed from a variety of angles in the literature on public finances, undoubtedly due to the major importance of this topic. However, not all areas of the expenditure part of fiscal policy have been subjected to in-depth analysis. One of the less discussed tools of fiscal policy consists of general purpose transfers, which are a certain type of expenditure passed from the central budget to local governments. This study focuses on presenting the systems for subsidising sub-national governments in selected European countries and evaluating, based on a synthetic measure, the fiscal policies of France, Italy, the Netherlands, Lithuania, Poland and Finland implemented by means of general transfers, with the aim of identifying the best fiscal policy with respect to subsidising and the characteristic features determining its success. The method of unitisation of statistical feature values was employed in this study to enable comparative analysis. As suggested by the results of the analysis, spanning the years 2003–2012, the highest-ranked fiscal policy implemented via general-purpose transfers has been developed in the Netherlands.

ANALISIS PERLAKUAN AKUNTANSI PAJAK PERTAMBAHAN NILAI (PPN) PADA CV. MULTI DI KOTA MANADO

Lease represent one of the very potential acceptance and dominant enough because owning function of budgetair and arrange. Taxation which in it there are element of Value Added Tax (PPN) represent also the part of fiscal policy of government because one of the Iease type imposed by government is Value added tax (PPN). As for intention of this research is to know treatment of Value added tax accountancy conducted by CV. Multi. Pursuant to result of research, hence Applying of Value added tax cv. Multi have according to Law No. 42 year 2009. Treatment of Value added tax accountancy by cv. Multi as entrepreneur hit Iease have as according to Law No. 42 Year 2009 that is equal to 10% for the delivery of home affairs.

Fool the Markets? Creative Accounting, Fiscal Transparency and Sovereign Risk Premia

We investigate the effects of official fiscal data and accounting signals on interest rate spreads between bond yields in the European Union. Our model predicts that risk premia contained in government bond spreads should increase in both, the official fiscal position and the expected creative part of fiscal policy. The relative importance of these two signals depends on the transparency of the country. Greater transparency reduces risk premia. The empirical results confirm the hypotheses. Creative accounting increases the spread. The increase of the risk premium is stronger if financial markets are unsure about the true extent of accounting. Fiscal transparency reduces risk premia. Instrumental variable regressions confirm these results by addressing potential reverse causality problems and measurement bias.