Local and central governments are concerned to develop fiscal policies that are based on principles already enshrined in the literature as the principle of equity and/or the principle of fiscal appropriateness. Beyond...Local and central governments are concerned to develop fiscal policies that are based on principles already enshrined in the literature as the principle of equity and/or the principle of fiscal appropriateness. Beyond these principles, the governments want to make sure that all taxpayers have the capacity to pay at maturity the tax debts owed to the public budget. In crisis situations, as recent experience has shown, governments adopt fiscal policy measures, with the sole purpose of procuring financial resources to cover the huge government budget deficits. In this situation, a natural question arises： Do governments need, for the elaboration of their fiscal policy, an analysis that takes into account the taxpayer＇s budget？ Or is it sufficient that they confine only to the theoretical principles enshrined in the literature or the tax paying ability of the taxpayers？ The answer can only be affirmative, because any taxpayer＇s budget is an inexhaustible source of resources for the public budgets. It is undisputed that in the taxpayer＇s budget, the tax expenditures coexist with other categories of expenditures such as consumption expenditures, durable expenditures and public utilities expenditures. Each expenditure type is risk-bearing. To study the structure of budget expenditures within the taxpayer, the authors suggest the use of three indicators innovative for the science of public finance： the risk, the sensitivity coefficient and the coefficient of volatility. Depending on the values registered by the three indicators of fiscal policies, expenditures can be classified as risky, volatile and sensitive which may lead to risks of failure to collect the taxes and/or to tax evasion. Innovative for the science of public finances is that the fundamentation of the fiscal policies is realized using the three indicators, the budget of the taxpayer and the networking between the categories of expenditures that fall within its budget structure展开更多
It is generally accepted that governments favor expansive fiscal policies to address an economic scenario in which supply exceeds demand. In other words, economic imbalance is regarded as the cause of the problem and ...It is generally accepted that governments favor expansive fiscal policies to address an economic scenario in which supply exceeds demand. In other words, economic imbalance is regarded as the cause of the problem and fiscal expansion as the result. However, this paper posits that China＇s expansive fiscal policies may also be a major cause of its economic imbalance, and that fiscal expansion and economic imbalance create cumulative causation. Specifically, China＇s tax system, characterized by a regressive commodity tax, intensifies constraints on domestic consumption while distributing a large proportion of national income to government and enterprises; supply-demand imbalance prompts the government to expand fiscal expenditures and increase taxes, which further exacerbates this imbalance. Thus, even as the country faces a macroeconomic imbalance, the strong measures it adopts in response may stimulate economic growth in the short term, but in the long term, they may do exactly the opposite and create the next economic crisis.展开更多
This paper employs a stochastic endogenous growth model with productive government expenditure in a small open economy to analyze the optimal fiscal policy. First, a stochastic model of a small open economy is constru...This paper employs a stochastic endogenous growth model with productive government expenditure in a small open economy to analyze the optimal fiscal policy. First, a stochastic model of a small open economy is constructed. Second, the equilibrium solutions of the representative agent＇s stochastic optimization problem are derived. Third, we obtain the equilibrium solutions of the central planner＇s stochastic optimization problem and the optimal government expenditure policy. Finally, the optimal tax policy is characterized.展开更多
文摘Local and central governments are concerned to develop fiscal policies that are based on principles already enshrined in the literature as the principle of equity and/or the principle of fiscal appropriateness. Beyond these principles, the governments want to make sure that all taxpayers have the capacity to pay at maturity the tax debts owed to the public budget. In crisis situations, as recent experience has shown, governments adopt fiscal policy measures, with the sole purpose of procuring financial resources to cover the huge government budget deficits. In this situation, a natural question arises： Do governments need, for the elaboration of their fiscal policy, an analysis that takes into account the taxpayer＇s budget？ Or is it sufficient that they confine only to the theoretical principles enshrined in the literature or the tax paying ability of the taxpayers？ The answer can only be affirmative, because any taxpayer＇s budget is an inexhaustible source of resources for the public budgets. It is undisputed that in the taxpayer＇s budget, the tax expenditures coexist with other categories of expenditures such as consumption expenditures, durable expenditures and public utilities expenditures. Each expenditure type is risk-bearing. To study the structure of budget expenditures within the taxpayer, the authors suggest the use of three indicators innovative for the science of public finance： the risk, the sensitivity coefficient and the coefficient of volatility. Depending on the values registered by the three indicators of fiscal policies, expenditures can be classified as risky, volatile and sensitive which may lead to risks of failure to collect the taxes and/or to tax evasion. Innovative for the science of public finances is that the fundamentation of the fiscal policies is realized using the three indicators, the budget of the taxpayer and the networking between the categories of expenditures that fall within its budget structure
文摘It is generally accepted that governments favor expansive fiscal policies to address an economic scenario in which supply exceeds demand. In other words, economic imbalance is regarded as the cause of the problem and fiscal expansion as the result. However, this paper posits that China＇s expansive fiscal policies may also be a major cause of its economic imbalance, and that fiscal expansion and economic imbalance create cumulative causation. Specifically, China＇s tax system, characterized by a regressive commodity tax, intensifies constraints on domestic consumption while distributing a large proportion of national income to government and enterprises; supply-demand imbalance prompts the government to expand fiscal expenditures and increase taxes, which further exacerbates this imbalance. Thus, even as the country faces a macroeconomic imbalance, the strong measures it adopts in response may stimulate economic growth in the short term, but in the long term, they may do exactly the opposite and create the next economic crisis.
基金This research is supported by the National Natural Science Foundation of China （No. 70271069）.
文摘This paper employs a stochastic endogenous growth model with productive government expenditure in a small open economy to analyze the optimal fiscal policy. First, a stochastic model of a small open economy is constructed. Second, the equilibrium solutions of the representative agent＇s stochastic optimization problem are derived. Third, we obtain the equilibrium solutions of the central planner＇s stochastic optimization problem and the optimal government expenditure policy. Finally, the optimal tax policy is characterized.
