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In: Economics & politics, Band 1, Heft 3, S. 207-224
ISSN: 1468-0343
This paper explores the extent to which insights available from existing writings on directly unproductive profit‐seeking (DUP) activities in international trade modify rules of tax and tariff reform in normative public economics and examines in what way these should affect advice on tax policy usually given to developing countries.The analysis proceeds by developing two models. The first incorporates revenue seeking directly into a standard open economy public finance model and examines whether analysis of policy reform and economic costs of distortionary tariffs must be modified. The second includes a political component in the form of lobbying for subsidies – the expenditure side of the budget – as well as a normative economic component that raises taxes – the revenue side – to finance the social costs of such lobbying. The model can be used to determine the effects of politically determined expenditures on tax setting.The analysis shows that the grammar of welfare‐theoretic arguments that underlies the reform and design of tax and tariff structures is robust to the inclusion of DUP activities of the type considered here. In particular, the latter lend no presumption in favor of uniformity in tax and tariff structures. It is argued that existing policy advice on tax and tariff reform derived from models where DUP activities have traditionally played no role continues to be appropriate when account is taken of formal treatments of DUP‐type phenomena extant in the current literature.
In: Journal of development economics, Band 30, Heft 1, S. 194-198
ISSN: 0304-3878
In: The Economic Journal, Band 105, Heft 432, S. 1305
In: Journal of development economics, Band 26, Heft 1, S. 77-101
ISSN: 0304-3878
Two decades since the fall of the Berlin wall, Central and Eastern Europe and the former Soviet Union, is experiencing the deepest contraction and is expected to see the weakest recovery in output among all emerging and developing economy regions a result of the global financial and economic crisis.
In: World Bank working paper 162
Key factors affecting satisfaction with life in Eastern Europe and the former Soviet Union -- Employment, sources of income, and the poor in Eastern Europe and the former Soviet Union -- Satisfaction with publicly provided health services in Eastern Europe and the former Soviet Union
In: South Asia development matters