Chen, Daphne
Corporate income tax, legal form of organization and employment / by Daphne Chen, Shi Qi and Don Schlagenhauf .-- , 2018
Disponible también en formato electrónico a través de la Biblioteca del IEF.
Resumen.
A dynamic stochastic occupational choice model with heterogeneous agents is developed to evaluate the impact of a corporate income tax reduction on employment. In this framework, the key margin is the endogenous entrepreneurial choice of the legal form of organization. A reduction in the corporate income tax burden encourages adoption of the C corporation legal form, which reduces capital constraints on
firms. Improved capital reallocation increases the overall productive efficiency in the economy and therefore expands the labor market. Relative to the benchmark economy, a corporate income tax cut can reduce the nonemployment rate by up to 7 percent.
IMPUESTO DE SOCIEDADES
REDUCCIONES TRIBUTARIAS
EMPLEO
PRODUCTIVIDAD
ORGANIZACION INDUSTRIAL
MODELOS ECONOMETRICOS
Qi, Shi
Schlagenhauf, Don
American Economic Journal. Macroeconomics 1945-7707 v. 10, n. 4, October 2018, p. 270-304
Corporate income tax, legal form of organization and employment / by Daphne Chen, Shi Qi and Don Schlagenhauf .-- , 2018
Disponible también en formato electrónico a través de la Biblioteca del IEF.
Resumen.
A dynamic stochastic occupational choice model with heterogeneous agents is developed to evaluate the impact of a corporate income tax reduction on employment. In this framework, the key margin is the endogenous entrepreneurial choice of the legal form of organization. A reduction in the corporate income tax burden encourages adoption of the C corporation legal form, which reduces capital constraints on
firms. Improved capital reallocation increases the overall productive efficiency in the economy and therefore expands the labor market. Relative to the benchmark economy, a corporate income tax cut can reduce the nonemployment rate by up to 7 percent.
IMPUESTO DE SOCIEDADES
REDUCCIONES TRIBUTARIAS
EMPLEO
PRODUCTIVIDAD
ORGANIZACION INDUSTRIAL
MODELOS ECONOMETRICOS
Qi, Shi
Schlagenhauf, Don
American Economic Journal. Macroeconomics 1945-7707 v. 10, n. 4, October 2018, p. 270-304