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The Growth and Welfare Effects of Deficit-Financed Dividend Tax Cuts

机译:财政赤字减税的增长和福利效应

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摘要

I develop a tractable growth model that allows me to study analytically transition dynamics and welfare in response to a deficit-financed cut of the tax rate on distributed dividends. I then carry out a quantitative assessment of the Job Growth and Taxpayer Relief Reconciliation Act (JGTRRA) of 2003.1 find that the Act produces lower steady-state growth despite the fact that the economy's saving and employment ratios rise. Most importantly, it produces a welfare lossof 19.34% of annual consumption per capita—a substantial effect driven by the fact that the steady-state growth rate falls from 2% to 1.08%.
机译:我开发了一个易于处理的增长模型,该模型可让我研究分析性的过渡动力和福利,以应对赤字资助的分红股息税率下调。然后,我对2003年的《就业增长和纳税人救济和解法案》(JGTRRA)进行了定量评估。该法案发现,尽管经济的储蓄率和就业率有所提高,但该法案产生的稳态增长却较低。最重要的是,它造成的福利损失为人均年消费的19.34%,这是由于稳态增长率从2%降至1.08%所致。

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