Dual Income Taxation: A Promising Path to Tax Reform for Developing Countries

The dual income tax combines a progressive tax on labor income and a lower flat tax on income from capital. Unlike flat tax systems, a dual income tax provides developing countries greater flexibility in addressing tax competition while retaining progressivity. Countries could use the move to a dual income tax system not just as an opportunity to rationalize the taxation of income from business operations and investment but also as a vehicle for broader reform of their tax systems.     

Sentiment and Financial Health Indicators for Value and Growth Stocks: The European Experience

In this study, we analyse the effect of macroeconomic surprises on inflation compensation data – the sum of inflation expectation, risk and liquidity premia – in the euro area. The empirical analysis is based on a daily data set, which covers a wide spectrum of maturities, stemming from inflation-indexed markets between 2 January 2004 and 31 December 2007. Our results suggest that when gauging short- and medium-term inflation compensations, market operators are sensitive to surprises related to real activity and prices. Notwithstanding, long-term inflation compensations remain generally unresponsive to macroeconomic surprises, attesting the European Central Bank's high credibility on the sample under consideration. The study also cross-checks the results from two different euro area inflation-indexed instruments (bonds and swaps) which differ slightly regarding medium-term horizon but give a similar picture regarding long-term horizons.     

Variation in price dependency measures on the london metal exchange

Eight tests of dependency are conducted on London Metal Exchange price date for separate years between 1972 and 1982. The results from the eight tests are combined to produce an overall ranking of the years by the extent of dependency exhibited. Similar patterns are exhibited across all the contracts tested. This is attributed to a common factor affecting all markets. The use of commodities as an inflation shelter by nontrade investors is suggested as a possible explanation.     

Changes in industrial buying: Implications for industrial marketers

Some of the most dramatic changes in organizational buyer behavior have occurred and continue to occur in the industrial purchasing function. Purchasing is becoming less and less a lower-level staff function and more and more a top-level management position. This article examines some of the major changes in the purchasing function and the reasons for those changes. The article concludes by considering some of the major implications of these changes for the industrial marketer.     

Marketing to the industrial lease buyer

This article reports on a survey of financial executives concerning their attitudes towards the leasing of industrial equipment. Specifically, the study seeks to explore the reasons why lessees lease. The research findings are viewed in terms of their implications for the marketing of industrial equipment.     

AN EXPLORATORY COMPARISON OF INCOME RISK IN GERMANY AND THE UNITED STATES

Using longitudinal data, 1 estimate the impact of redistribution on the welfare cost of income risk in Germany and the United States. The estimates account fully for behavior because individuals in each country have responded optimally to that country's policy. The results indicate that the welfare cost of income risk is 5.4 percent of disposable income in Germany, 8.5 percent in the U.S. Redistribution has reduced these risks from their pre-tax, pre-transfer levels by 43 percent in Germany, 21 percent in the U.S. The political importance of income security is evident in both countries, as risk relief often eliminates the net burden of redistributive taxes among middle-class households. The conclusions are robust across several models of income expectations.     

Safe haven or contagion? The disparate effects of Euro-zone crises on non-Euro-zone neighbours

While there have been many studies that examine contagion within the Euro-zone, this article investigates the potential contagion from changes in the Greek sovereign risk premium over 2009–2016, as measured by the yield on 10-year government bonds, to six European countries outside of the Euro-zone all of which operated a managed float against the Euro. We find evidence of contagion to potential Euro-zone ascendants (Czech Republic, Hungary and Poland), but ‘flight to safety’ (or safe haven) effects for the United Kingdom, Sweden and Switzerland.