scholarly journals An Empirical Analysis of the Displacement Effect of TFSAs on RRSPs

2019 ◽  
Vol 67 (2) ◽  
pp. 309-333
Author(s):  
Leslie Berger ◽  
Jonathan Farrar ◽  
Lu Zhang
Keyword(s):  
Empirical Evidence ◽  
Empirical Analysis ◽  
Retirement Savings ◽  
Displacement Effect ◽  
Canadian Government ◽  
Tax Revenues ◽  
Percent Increase ◽  
Using Data ◽  
The Impact

The tax-free savings account (TFSA), introduced in 2009, was intended by the Canadian government to provide an alternative catchment for savings in addition to registered retirement savings plans (RRSPs). However, little empirical evidence exists regarding the impact of saving in TFSAs on saving in RRSPs. To investigate this issue, we conduct empirical analysis, using data from Statistics Canada's Longitudinal Administrative Databank, which contains annual TFSA and RRSP contributions for a sample of 20 percent of all Canadian taxfilers. We find evidence of a displacement effect of TFSAs on RRSPs: every 1 percent increase in a TFSA contribution reduces an RRSP contribution by approximately 0.4 percent. Our findings have implications for Canadians' ability to self-fund their retirement, as well as for the Canadian government's ability to generate future tax revenues.

scholarly journals The Impact of Austerity Measures on Government Borrowing in GIIPS

2016 ◽  
Vol 8 (12) ◽  
pp. 106 ◽  
Author(s):  
Imre Ersoy ◽  
Talha Yanmaz
Keyword(s):  
Empirical Analysis ◽  
Rate Increase ◽  
Panel Cointegration ◽  
Government Debt ◽  
Cointegration Test ◽  
Tax Rate ◽  
Economic Agents ◽  
Panel Cointegration Test ◽  
Using Data ◽  
The Impact

The article investigates the effects of austerity measures on government debt in Greece, Ireland, Italy, Portugal and Spain (GIIPS) by employing panel cointegration test and using data between 1998 and 2014. The result of empirical analysis shows that tax rate increase on personal income did not result with decrease in government debt. Interest rate and wage that are control variables are also positively related with government debt levels. The result of this empirical analysis suggests that the impact of austerity measures on government borrowing in GIIPS is positive, despite the expectations of certain economic agents.

Disaggregating Mediations: The Impact of Multiparty Mediation

2011 ◽  
Vol 41 (4) ◽  
pp. 859-881 ◽  
Author(s):  
Tobias Böhmelt
Keyword(s):  
Conflict Resolution ◽  
Empirical Analysis ◽  
Third Party ◽  
Multiparty Mediation ◽  
History Of ◽  
Shared Culture ◽  
Using Data ◽  
The Impact ◽  
The Empirical Analysis ◽  
Mediation Effectiveness

This article disaggregates coalitions of third-party mediators and examines their effectiveness in interventions. First, it is argued that there is an inverted U-shaped relationship between the size of a mediating coalition and mediation effectiveness. Secondly, mediators sharing a history of conflict and distrust will transfer their past relationships to a mediation attempt, making it less effective. Consequently, states sharing friendly and co-operative ties with each other are more successful in managing conflicts. Finally, a coalition of mediators that is largely democratic should be more effective due to a shared culture of peaceful conflict resolution, inclusivity and increased communication flows. The empirical analysis using data from the Issues Correlates of War Project for 1965–2000 largely provides support for the theory.

scholarly journals The impact of participation in employment-based retirement savings plans on material hardship

2015 ◽  
Vol 15 (4) ◽  
pp. 407-428
Author(s):  
BRADLEY T. HEIM ◽  
SHANTHI P. RAMNATH
Keyword(s):  
Income Distribution ◽  
Low Income ◽  
Positive Impact ◽  
Retirement Savings ◽  
Program Participation ◽  
Material Hardship ◽  
Short Term ◽  
Financial Difficulties ◽  
Using Data ◽  
The Impact

AbstractTo contribute to a retirement plan (barring an increase in income), an individual must either reduce consumption or increase debt. Using data from the 2004 wave of the Survey of Income and Program Participation, we examine the extent to which contributing to 401(k)-type accounts leads to an increase in short-term financial difficulties, particularly among low-income individuals. After instrumenting for plan take-up, we find that contributing to a 401(k) plan appears to have a small positive impact on the presence of any material hardship and debt holding among the lowest income quintiles, though that effect diminishes further up the income distribution.

How Do Earnings Numbers Relate to Stock Returns? A Review of Classic Accounting Research with Updated Evidence

2004 ◽  
Vol 18 (4) ◽  
pp. 263-286 ◽  
Author(s):  
D. Craig Nichols ◽  
James M. Wahlen
Keyword(s):  
Stock Returns ◽  
Empirical Evidence ◽  
Financial Reporting ◽  
Academic Research ◽  
Cash Flows ◽  
Share Prices ◽  
Earnings Information ◽  
Post Earnings Announcement Drift ◽  
Using Data ◽  
The Impact

An extensive body of academic research in accounting develops theory and empirical evidence on the relation between earnings information and stock returns. This literature provides important insights for understanding the relevance of financial reporting. In this article, we summarize the theory and evidence on how accounting earnings information relates to firms' stock returns, particularly for the benefit of students, practitioners, and others who may not yet have been exposed to this literature. In addition, we present new empirical evidence on the relation between earnings and returns by replicating and extending three classic studies using data from 1988 through 2002. Specifically, we first demonstrate the relation between earnings changes and stock returns, replicating Ball and Brown (1968), and we compare that relation to the relation between changes in cash flows from operations and stock returns. Second, we demonstrate the impact of earnings persistence on stock returns, extending findings from studies such as Kormendi and Lipe (1987), and highlighting the effects of differences in persistence across earnings increases and decreases. Third, we provide evidence to assess the efficiency with which the capital markets impound quarterly earnings information into share prices, showing that the post-earnings-announcement-drift results of Bernard and Thomas (1989) extend to recent data.

scholarly journals MIGRATION AND REMITTANCES EFFECTS ON CONSUMPTION OF THE POOREST: THE MEXICAN CASE

2017 ◽  
Vol 7 (14) ◽  
pp. 43 ◽  
Author(s):  
José Jorge Mora Rivera ◽  
Jesús Arellano González
Keyword(s):  
Empirical Evidence ◽  
Rural Poor ◽  
Selection Mechanism ◽  
Expenditure Patterns ◽  
Poor Households ◽  
Migration Decisions ◽  
Using Data ◽  
Econometric Approach ◽  
The Impact

In this work we present empirical evidence to test for the impact of remittances on expenditure patterns in rural Mexican households located in poor areas. Using data from the Progresa-Oportunidades program from 1997 to 2000, we develop an econometric approach that deals with the selection mechanism affecting migration decisions, to estimate the impact that the probability of receiving remittances, internal and external, has on expenditure patterns of rural poor households. Our findings indicate that there are significant effects on some expenditure categories. Household with higher probabilities of receiving internal and external remittances are more likely to spend in expenditure categories like physical and human investments.

Identifying the Aggregate Productivity Effects of Entry and Size Restrictions: An Empirical Analysis of License Reform in India

2011 ◽  
Vol 3 (2) ◽  
pp. 66-96 ◽  
Author(s):  
A. V Chari
Keyword(s):  
Empirical Evidence ◽  
Empirical Analysis ◽  
Policy Reform ◽  
Aggregate Productivity ◽  
Allocation Of Resources ◽  
Policy Experiments ◽  
The Impact ◽  
Actual Policy

Distortions in the allocation of resources between heterogeneous producers have the potential to generate large reductions in aggregate productivity, a point that has been stressed by recent studies. There is, however, little direct empirical evidence from actual policy experiments on the magnitude of these effects. This paper proposes a simple methodology that empirically identifies the separate effects of entry and size restrictions on aggregate productivity, and uses it to analyse the impact of a policy reform in India. (JEL L11, L24, O14, O47)

Partner Familiarity and Audit Fees: Evidence from Former Andersen Clients

2008 ◽  
Vol 27 (2) ◽  
pp. 217-229 ◽  
Author(s):  
Thomas E. Vermeer ◽  
Dasaratha V. Rama ◽  
K. Raghunandan
Keyword(s):  
Empirical Evidence ◽  
Audit Fees ◽  
Public Accounting ◽  
Audit Firm ◽  
Accounting Report ◽  
Using Data ◽  
The Impact

SUMMARY: In this study we examine the audit fees for two types of former Andersen clients: those that followed their former Andersen partner to a new audit firm and those that did not. Using data from Public Accounting Report on the acquisition of Andersen offices, we find that about half of the Andersen clients in our sample followed the former partner to a new audit firm and that the “follower” clients paid, on average, about 16 percent lower audit fees than other clients. The results thus provide empirical evidence about the impact of partner-client familiarity on audit fees. The findings also suggest that studies examining former Andersen clients may need to distinguish between the “follower” clients and other clients.

scholarly journals An Empirical Analysis of the Impact of Legal Sports Betting On Consumer Credit Health

2021 ◽  
Vol 2020 (3) ◽  
Author(s):  
Matthew Q. Clarida
Keyword(s):  
Empirical Analysis ◽  
Consumer Credit ◽  
Sports Betting ◽  
Tax Revenues ◽  
National Debate ◽  
The Social ◽  
The Impact

The Supreme Court’s May 2018 decision in Murphy v. NCAA removed the federal prohibition against sports betting and invited states to regulate the practice for themselves. This has launched a national debate. Advocates in favor of legal sports betting champion increased tax revenues, business for struggling casinos and racetracks, and regulation of a practice that has flourished in the shadows. Detractors warn of the social ills commonly associated with gambling, including crime, addiction, and financial waste. This Note provides the first empirical analysis of the impact of legal sports betting on consumer credit health. Making use of the staggered sequencing of state legalization, I find that legal sports betting accounts for a small but statistically significant increase in mortgage delinquency rates. I submit that this finding justifies caution as policymakers explore legal sports betting opportunities.

Financial Inclusion and Income Inequality: Empirical Evidence from Transition Economies

2019 ◽  
pp. 23-34
Author(s):  
Lan Ho Hoang ◽  
Thuong Phan Thi Hoai
Keyword(s):  
Income Inequality ◽  
Least Squares ◽  
Empirical Evidence ◽  
Transition Economies ◽  
Negative Relationship ◽  
Financial Inclusion ◽  
Policy Recommendations ◽  
Two Stage ◽  
Using Data ◽  
The Impact

Using data from 22 transition economies over the period of 2005 to 2015, this paper uses a two-stage least squares model and two different financial inclusion index to investigate the impact of financial inclusion on income inequality. We find that there is a negative relationship between financial inclusion and income inequality in these transition economies. The paper also suggests some policy recommendations to reduce income inequality through developing financial inclusion.

scholarly journals Robots and the Gender Pay Gap in Europe

2020 ◽  
Author(s):  
Cevat Giray Aksoy ◽  
Berkay Ozcan ◽  
Julia Philipp
Keyword(s):  
Large Scale ◽  
Manufacturing Sector ◽  
Industrial Robots ◽  
Gender Pay Gap ◽  
Pay Gap ◽  
Percent Increase ◽  
Using Data ◽  
The Impact ◽  
High Skill ◽  
Rule Out

Could robotization make the gender pay gap worse? We provide the first large-scale evidence on the impact of industrial robots on the gender pay gap using data from 20 European countries. We show that robot adoption increases both male and female earnings but also increases the gender pay gap. Using an instrumental variable strategy, we find that a ten percent increase in robotization leads to a 1.8 percent increase in the gender pay gap. These results are mainly driven by countries with high levels of gender inequality and outsourcing destination countries. We then explore the mechanisms behind this effect and find that our results can be explained by the fact that men at medium- and high-skill occupations disproportionately benefit from robotization (through a productivity effect). We rule out the possibility that our results are driven by mechanical changes in the gender composition of the workforce nor by inflows or outflows from the manufacturing sector.

Sign in / Sign up

Export Citation Format

Share Document