The Effect of Taxation and Corruption on Firm Growth: An Empirical Investigation for Vietnam

2016 ◽  
pp. 5-29
Author(s):  
Bich Le Thi Ngoc
Keyword(s):  
International Development ◽  
Firm Growth ◽  
Empirical Investigation ◽  
Manufacturing Firms ◽  
Economic Management ◽  
Tax Rate ◽  
Percentage Point Increase ◽  
Percentage Points ◽  
Point Increase ◽  
The Impact

The aim of this study is to analyze empirically the impact of taxation and corruption on the growth of manufacturing firms in Vietnam. The study employed pooled OLS estimation and then instrument variables with fixed effect for the panel data of 1377 firms in Vietnam from 2005 to 2011. These data were obtained from the survey of the Central Institute for Economic Management and the Danish International Development Agency. The results show that both taxation and corruption are negatively associated with firm growth measured by firm sales adjusted according to the GDP deflator. A one-percentage point increase in the bribery rate is linked with a reduction of 16,883 percentage points in firm revenue, over four and a half times bigger than the effect of a one-percentage point increase in the tax rate. From the findings of this research, the author recommends the Vietnam government to lessen taxation on firms and that there should be an urgent revolution in anti-corruption policies as well as bureaucratic improvement in Vietnam.

scholarly journals Planning prompts to promote uptake of HIV services among men: a randomised trial in rural Uganda

2020 ◽  
Vol 5 (11) ◽  
pp. e003390
Author(s):  
Nolan M Kavanagh ◽  
Elisabeth M Schaffer ◽  
Alex Ndyabakira ◽  
Kara Marson ◽  
Diane V Havlir ◽  
...  
Keyword(s):  
Hiv Testing ◽  
Community Health ◽  
Control Group ◽  
Health Campaign ◽  
Percentage Point Increase ◽  
Percentage Points ◽  
Point Increase ◽  
Cost Planning ◽  
Testing Uptake ◽  
The Impact

IntroductionInterventions informed by behavioural economics, such as planning prompts, have the potential to increase HIV testing at minimal or no cost. Planning prompts have not been previously evaluated for HIV testing uptake. We conducted a randomised clinical trial to evaluate the effectiveness of low-cost planning prompts to promote HIV testing among men.MethodsWe randomised adult men in rural Ugandan parishes to receive a calendar planning prompt that gave them the opportunity to make a plan to get tested for HIV at health campaigns held in their communities. Participants received either a calendar showing the dates when the community health campaign would be held (control group) or a calendar showing the dates and prompting them to select a date and time when they planned to attend (planning prompt group). Participants were not required to select a date and time or to share their selection with study staff. The primary outcome was HIV testing uptake at the community health campaign.ResultsAmong 2362 participants, 1796 (76%) participants tested for HIV. Men who received a planning prompt were 2.2 percentage points more likely to test than the control group, although the difference was not statistically significant (77.1% vs 74.9%; 95% CI –1.2 to 5.7 percentage points, p=0.20). The planning prompt was more effective among men enrolled ≤40 days before the campaigns (3.6 percentage-point increase in testing; 95% CI –2.9 to 10.1, p=0.27) than among men enrolled >40 days before the campaigns (1.8 percentage-point increase; 95% CI –2.3 to 5.8, p=0.39), although the effects within the subgroups were not significant.ConclusionThese findings suggest that planning prompts may be an effective behavioural intervention to promote HIV testing at minimal or no cost. Large-scale studies should further assess the impact and cost-effectiveness of such interventions.

scholarly journals Inflation Expectations and Readiness to Spend: Cross-Sectional Evidence

2015 ◽  
Vol 7 (1) ◽  
pp. 1-35 ◽  
Author(s):  
Rüdiger Bachmann ◽  
Tim O. Berg ◽  
Eric R. Sims
Keyword(s):  
Lower Bound ◽  
Inflation Expectations ◽  
Zero Lower Bound ◽  
Cross Sectional ◽  
Percentage Point Increase ◽  
Expected Inflation ◽  
Percentage Points ◽  
Point Increase ◽  
The Impact ◽  
The Relationship

There have been suggestions for monetary policy to engineer higher inflation expectations to stimulate spending. We examine the relationship between expected inflation and spending attitudes using the microdata from the Michigan Survey of Consumers. The impact of higher inflation expectations on the reported readiness to spend on durables is generally small, outside the zero lower bound, often statistically insignificant, and inside of it typically significantly negative. In our baseline specification, a one percentage point increase in expected inflation during the recent zero lower bound period reduces households' probability of having a positive attitude towards spending by about 0.5 percentage points. (JEL D12, D84, E21, E31, E52)

scholarly journals Association between COVID-19 outcomes and mask mandates, adherence, and attitudes

PLoS ONE ◽  
2021 ◽  
Vol 16 (6) ◽  
pp. e0252315
Author(s):  
Dhaval Adjodah ◽  
Karthik Dinakar ◽  
Matteo Chinazzi ◽  
Samuel P. Fraiberger ◽  
Alex Pentland ◽  
...  
Keyword(s):  
Hospital Admissions ◽  
Policy Implications ◽  
The Novel ◽  
Government Interventions ◽  
Community Attitudes ◽  
The Public ◽  
Percentage Point Increase ◽  
Percentage Points ◽  
Point Increase ◽  
The Impact

We extend previous studies on the impact of masks on COVID-19 outcomes by investigating an unprecedented breadth and depth of health outcomes, geographical resolutions, types of mask mandates, early versus later waves and controlling for other government interventions, mobility testing rate and weather. We show that mask mandates are associated with a statistically significant decrease in new cases (-3.55 per 100K), deaths (-0.13 per 100K), and the proportion of hospital admissions (-2.38 percentage points) up to 40 days after the introduction of mask mandates both at the state and county level. These effects are large, corresponding to 14% of the highest recorded number of cases, 13% of deaths, and 7% of admission proportion. We also find that mask mandates are linked to a 23.4 percentage point increase in mask adherence in four diverse states. Given the recent lifting of mandates, we estimate that the ending of mask mandates in these states is associated with a decrease of -3.19 percentage points in mask adherence and 12 per 100K (13% of the highest recorded number) of daily new cases with no significant effect on hospitalizations and deaths. Lastly, using a large novel survey dataset of 847 thousand responses in 69 countries, we introduce the novel results that community mask adherence and community attitudes towards masks are associated with a reduction in COVID-19 cases and deaths. Our results have policy implications for reinforcing the need to maintain and encourage mask-wearing by the public, especially in light of some states starting to remove their mask mandates.

scholarly journals Inventor Gender and the Direction of Invention

2020 ◽  
Vol 110 ◽  
pp. 250-254
Author(s):  
Rembrand Koning ◽  
Sampsa Samila ◽  
John-Paul Ferguson
Keyword(s):  
Fixed Effects ◽  
Research Area ◽  
Percentage Point Increase ◽  
Percentage Points ◽  
Point Increase

We study whether increasing the share of female inventors leads to more biomedical inventions that focus on the needs of women. After accounting for detailed disease-technology, disease-year, and technology-year fixed effects, we find that a 10 percentage point increase in the share of female inventors in a research area yields 1.2 percentage points more female-focused patents. Notably, this effect only holds for female-led invention teams. Areas with a greater share of female inventors in supporting roles do not produce more female-focused inventions. For gender to impact the direction of invention, it appears that women must occupy positions of power.

Savings Groups Reduce Vulnerability, but Have Mixed Effects on Financial Inclusion

2020 ◽  
Author(s):  
Verónica Frisancho ◽  
Martín Valdivia
Keyword(s):  
Financial Inclusion ◽  
Access To Credit ◽  
Administrative Records ◽  
Labor Allocation ◽  
Percentage Point Increase ◽  
Cluster Randomized Control Trial ◽  
Point Increase ◽  
Idiosyncratic Shocks ◽  
Cluster Randomized ◽  
The Impact

This paper evaluates the impact of the introduction of savings groups on poverty, vulnerability, and financial inclusion outcomes in rural Peru. Using a cluster randomized control trial and relying on both survey and administrative records, we investigate the impact of savings groups after more than two years of exposure. We find t hat savings groups channel expensive investments such as housing improvements and reduce households' vulnerability to idiosyncratic shocks, particularly among households in poorer districts. The treatment also induces changes in households labor allocation choices: access to savings groups increases female labor market participation and, in poorer areas, it fosters greater specialization in agricultural activities. Access to savings groups also leads to a four-percentage point increase in access to credit among women, mainly driven by access to the groups loans. However, the introduction of savings groups has no impact on the likelihood of using formal financial services.On the contrary, it discourages access to loans from formal financial institutions and microfinance lenders among the unbanked.

scholarly journals Sales Taxes and Internet Commerce

2014 ◽  
Vol 104 (1) ◽  
pp. 1-26 ◽  
Author(s):  
Liran Einav ◽  
Dan Knoepfle ◽  
Jonathan Levin ◽  
Neel Sundaresan
Keyword(s):  
Sales Tax ◽  
Internet Commerce ◽  
Tax Rate ◽  
Aggregated Data ◽  
Percentage Point Increase ◽  
Sales Taxes ◽  
Online Purchases ◽  
Point Increase ◽  
Internet Retail

We estimate the sensitivity of Internet retail purchasing to sales taxes using eBay data. Our first approach exploits the fact that a seller's location—and therefore the applicable tax rate—is revealed only after a buyer has expressed interest in an item. We document how adverse tax “surprises” reduce the likelihood of purchase and shift subsequent purchases toward out-of-state sellers. We then use more aggregated data to estimate that every one percentage point increase in a state's sales tax increases online purchases by state residents by almost 2 percent, while decreasing their online purchases from state retailers by 3–4 percent. (JEL H71, L81, L86)

scholarly journals American Idol: Evidence on Same-Race Preferences

2009 ◽  
Vol 9 (1) ◽  
Author(s):  
Jungmin Lee
Keyword(s):  
Racial Composition ◽  
Television Show ◽  
American Idol ◽  
Percentage Point Increase ◽  
Point Estimates ◽  
Percentage Points ◽  
Racial Preferences ◽  
Point Increase ◽  
Popular Television ◽  
Voting Mechanism

Abstract This paper examines whether viewers of the popular television show, American Idol, exhibit racial preferences. We find evidence on same-race preferences among black viewers only: when there are more black contestants in the show, more black viewers are tuned in to watch it. The result is robust after we account for the endogeneity problem regarding the contestants' racial composition, which arises due to the voting mechanism. Our point estimates tell that a 10 percentage point increase in the proportion of black contestants increases viewership ratings for black households by about 1.3 percentage points.

scholarly journals Research on the Trade Effects of China’s Direct Investment in ASEAN

2019 ◽  
Vol 1 (2) ◽  
pp. p175
Author(s):  
Shuang-lin LUO ◽  
Min ZHOU ◽  
Yu-feng Huang
Keyword(s):  
Direct Investment ◽  
Variable Parameter ◽  
The Philippines ◽  
Mechanical Equipment ◽  
Percentage Point Increase ◽  
Point Increase ◽  
Import And Export ◽  
Asean Countries ◽  
Investment In China ◽  
The Impact

Based on the data of China’s direct investment and trade in ASEAN countries from 2004 to 2018, this paper established a variable parameter model, variable intercept model and constant coefficient model with panel data, and investigated the heterogeneous impact of China’s direct investment in ASEAN countries on their import and export trade and the impact mechanism. It is found that China’s direct investment in ASEAN will be deposited in the trade between China and 10 ASEAN countries, creating effects for trade, and the size of the effect varies with the host country. On average, when other factors remain unchanged, every 1 percentage point increase in China’s direct investment flows to ASEAN countries will increase exports to ASEAN countries by 0.54%, imports will increase by 0.44%. Further studies have found that our country to Brunei, Indonesia, the Philippines, Singapore and Thailand’s export create effect is greater than the imported create effect, on the whole, China’s investment in the five countries promoted the net exports, mainly on its investment in China, led to many mechanical equipment and other related products exports, and imports mainly import countries have their comparative advantages of products, variety is less.

scholarly journals Effect of VAT Adoption on Manufacturing Firms in Ethiopia

2020 ◽  
Vol 12 (10) ◽  
pp. 75
Author(s):  
Soule Sow ◽  
Mesay Gebresilasse
Keyword(s):  
Small Firms ◽  
Production Efficiency ◽  
Raw Materials ◽  
Value Added ◽  
Manufacturing Firms ◽  
Tax Revenue ◽  
Difference In Differences ◽  
Tax Rate ◽  
Revenue Efficiency ◽  
The Impact

To remedy their low fiscal capacity problem, many developing countries adopted value-added taxation because they believe it will raise tax revenue and improve the production efficiency of firms. In this paper, we study the impact of the adoption of the value-added tax (VAT) on firms by analyzing the introduction of VAT in Ethiopia in 2003 using panel data of manufacturing firms (1996-2009). By law, a firm is required to register for VAT if it is big (its revenue is higher than 500,000 Birr); otherwise, the firm is small and faces a much lower turnover tax rate. Using a difference in differences strategy with big firms as a treatment and small firms as control, and excluding firms that might potentially bunch around the threshold, we find taxes paid, reported revenue, taxes paid out of revenue, value-added, and raw materials use increase for big firms. However, the share of inputs in revenue fell suggesting VAT increased revenue efficiency by not production efficiency.

scholarly journals The Influence of Corporate Income Taxes on Investment Location: Evidence from Corporate Headquarters Relocations

2021 ◽  
Author(s):  
Travis Chow ◽  
Sterling Huang ◽  
Kenneth J. Klassen ◽  
Jeffrey Ng
Keyword(s):  
Income Tax ◽  
Strong Support ◽  
The State ◽  
Economic Consequences ◽  
Corporate Income Tax ◽  
Tax Rates ◽  
Tax Rate ◽  
Percentage Point Increase ◽  
Point Increase ◽  
State Income

This study examines the effects of jurisdictions’ corporate taxes and other policies on firms’ headquarters (HQ) location decisions. Using changes in state corporate income tax rates across time and states as the setting, we find that a one-percentage-point increase in the HQ state corporate income tax rate increases the likelihood of firms relocating their HQ out of the state by 16.8%, and an equivalent decrease in the HQ state rate decreases the likelihood of HQ relocations by 9.1%. Exploiting the unique tax policy features within the state apportionment system lends strong support to the interpretation that taxation drives this effect. Our analyses also demonstrate that state income tax features affect the destination of the HQ move. We contribute to the literature on corporate decision making by showing how state income taxation affects a real corporate decision that has significant economic consequences for the company and the state. This paper was accepted by Brian Bushee, accounting.

Sign in / Sign up

Export Citation Format

Share Document