Download or read book Essays on the Taxation and Regulation of Financial Markets written by Daniel Bergstresser and published by . This book was released on 2002 with total page 147 pages. Available in PDF, EPUB and Kindle. Book excerpt: (Cont.) Previous studies have documented that funds with high pretax returns attract greater inflows. This chapter presents evidence, based on a large sample of retail equity mutual funds over the period 1993 to 1999, that after-tax returns have more explanatory power than pretax returns in explaining inflows. In addition, funds with large overhangs of unrealized capital gains experience smaller inflows, all else equal, than funds without such unrealized gains.

Download or read book Essays on Money Banking and Regulation written by C.J.M Kool and published by Springer Science & Business Media. This book was released on 2012-12-06 with total page 252 pages. Available in PDF, EPUB and Kindle. Book excerpt: Essays on Money, Banking and Regulation honors the interests and achievements of the Dutch economist Conrad Oort. The book is divided into four parts. Part 1 - Fiscal and monetary policy - reviews a variety of topics ranging from the measurement of money to the control and management of government expenditures. Part 2 - International institutions and international economic policy - looks at the international dimension of monetary and fiscal policy, with extensive discussion of the International Monetary Fund and the European Monetary Union. Part 3 - The future of international banking and the financial sector in the Netherlands - is an insider's view of the strategic choices facing financial institutions in the near future. Finally, Part 4 - Taxation and reforms in the Dutch tax system - is closest to Oort's research and practice since he has become known as an architect of the 1990 Dutch tax reform; this part is dedicated in particular to the tax reforms suggested by Oort.

Download or read book Essays on Taxes Financial Markets and the Corporate Sector written by Orhan Erem Atesagaoglu and published by . This book was released on 2008 with total page 140 pages. Available in PDF, EPUB and Kindle. Book excerpt:

Download or read book The Regulation of Financial Markets written by I. Goodspeed and published by . This book was released on 1991 with total page 214 pages. Available in PDF, EPUB and Kindle. Book excerpt:

Download or read book The fundamental principles of financial regulation written by Markus Konrad Brunnermeier and published by . This book was released on 2009 with total page pages. Available in PDF, EPUB and Kindle. Book excerpt:

Download or read book Essays on Optimal Taxation in Financial Markets written by Kai B. Brückerhoff and published by . This book was released on 2019 with total page pages. Available in PDF, EPUB and Kindle. Book excerpt:

Download or read book Essays on Taxation and Competition Under Firm Heterogeneity and Financial Frictions written by Daniel S. Wills and published by . This book was released on 2017 with total page 176 pages. Available in PDF, EPUB and Kindle. Book excerpt: In this dissertation, I study the implications of taxation--and other regulations--in environments with financial frictions and firm entry. The first chapter asks if there is a role for the regulation of the market of funds for firms that lack collateral and have a large uncertainty about their ability to generate profits. To answer the question, it characterizes optimal financial contracts in a competitive environment with risk, adverse selection, and limited liability. In this environment, competition among financial intermediaries always forces them to fund projects with negative expected returns both from a private and from a social perspective. Intermediaries use steep payoff schedules to screen entrepreneurs, but limited liability implies this can only be done by giving more to all entrepreneurs. In equilibrium, competition for the profitable entrepreneurs forces intermediaries to offer better terms to all customers. There is cross-subsidization among entrepreneurs and intermediation profits are zero. The three main features of the framework (competition, adverse selection, and limited liability) are necessary in order to get the inefficient laissez-faire outcome and a role for financial regulation. The result remains robust when firms can collateralize some portion of the credit as long as there is an unsecured fraction. These results provide a motive for regulating the market for unsecured financing to business start-ups. The second chapter quantifies the effect of replacing the corporate income tax by a tax on business owners. This is done by constructing a model with heterogeneous firms, borrowing constraints, costly equity issuance and endogenous entry and exit. Calibrating the model to the U.S. economy, the chapter documents that replacing the corporate income tax with a revenue-neutral common tax on shareholders, the steady-state output would increase by 6.8% and total factor productivity (TFP) by 1.7%. Due to financial frictions, taxes levied at the corporate income level and at the shareholder level are not perfect substitutes because they distort different margins. In the model, firms are hit by productivity shocks and aim to adjust their capital stock in pursuit of optimal size. Optimal firm behavior often dictates reliance on retained earnings for growth. The corporate income tax reduces retained earnings available for investment, thereby delaying capital accumulation. As the retained earnings are not paid back to shareholders, the friction described does not occur when taxes are levied at the dividend level. The mechanism is amplified by endogenous entry and exit and by general equilibrium feedback.

Download or read book Three Essays on Regulation and Taxation of Stocks and Derivatives written by Emna Khemakhem and published by . This book was released on 2020 with total page pages. Available in PDF, EPUB and Kindle. Book excerpt:

Download or read book Taxes Public Goods and Urban Economics written by Peter M. Mieszkowski and published by Edward Elgar Publishing. This book was released on 1999 with total page 584 pages. Available in PDF, EPUB and Kindle. Book excerpt: The 27 articles reprinted in this volume are among Peter Mieszkowski's most important contributions to public, urban and regional economics. Several of these pieces concern income distribution theory and policies for promoting equality in wages, housing and education. The first part of this book includes studies of labour markets, tax incidence and the distributive effects of trade unions and wage subsidies. Two important conclusions presented in these papers concern the local property tax: it is a tax on capital and it results in under-provision of local public goods. The second and third parts of the book address, respectively, the decentralization of cities and and tax reform. Issues discussed include: racial discrimination in housing markets, the design of land use regulation, the negative income tax, consumption taxes, and tax reform in transition countries, particularly Eastern European countries. These outstanding essays bring together, in an accessible form, the work of one of the most important scholars in the field of public finance and urban economics.

Download or read book Essays on Financial Transaction Taxes written by Patrick Thöni and published by . This book was released on 2022 with total page 0 pages. Available in PDF, EPUB and Kindle. Book excerpt: Financial Markets have undoubtedly played a crucial role in the economic development and technological growth the world has experienced over the last century. The availability of liquid markets greatly facilitates the opportunities of raising capital and risk sharing, allowing the financing of large-scale real enterprises. Additionally, it enables savers to increase their returns while diversifying their risk. On the other hand, liquid markets also allow for speculative trading, which ultimately can lead to a misallocation of resources. This fundamental trade-off is what lies at the core of the original idea of a financial transaction tax (FTT). While proponents of FTTs highlight their potential to curb speculation driven by short term incentives, opponents argue that it would harm market quality by decreasing overall liquidity, interfering with price discovery and raising the cost of capital. This thesis furthers the existing body of work on this key tension surrounding FTTs from a financial microstructure perspective. By means of both theoretical and empirical analysis, the three self-contained chapters presented in this dissertation investigate the impact of FTTs on trading volume and migration, trader composition and ultimately market quality.

Download or read book Government and Markets written by Edward J. Balleisen and published by Cambridge University Press. This book was released on 2010 with total page 579 pages. Available in PDF, EPUB and Kindle. Book excerpt: After two generations of emphasis on governmental inefficiency and the need for deregulation, we now see growing interest in the possibility of constructive governance, alongside public calls for new, smarter regulation. Yet there is a real danger that regulatory reforms will be rooted in outdated ideas. As the financial crisis has shown, neither traditional market failure models nor public choice theory, by themselves, sufficiently inform or explain our current regulatory challenges. Regulatory studies, long neglected in an atmosphere focused on deregulatory work, is in critical need of new models and theories that can guide effective policy-making. This interdisciplinary volume points the way toward the modernization of regulatory theory. Its essays by leading scholars move past predominant approaches, integrating the latest research about the interplay between human behavior, societal needs, and regulatory institutions. The book concludes by setting out a potential research agenda for the social sciences.

Download or read book Essays on the Regulation and Taxation of Banks written by Michael Kogler and published by . This book was released on 2016 with total page pages. Available in PDF, EPUB and Kindle. Book excerpt: This dissertation combines four essays on the regulation and taxation of banks as well as on the bank-sovereign nexus. The recent financial crisis and the ongoing sovereign debt crises in the Euro area have put these topics on top of the agenda and have led to several reforms of the banking sector. The first chapter analyzes a newly introduced tax on banks, the bank levy. It is imposed on bank liabilities and its aim as a Pigovian tax is the internalization of the (fiscal) cost of banking crises. This chapter focuses on the tax incidence: Theory and the evidence from EU banks lead to the conclusion that the levy increases the interest rates on loans and deposits and the net interest margin such that banks pass part of the burden onto borrowers while depositors benefit from higher interest rates as deposits are exempt. While moderate on average, the pass-through is particularly strong and economically relevant in concentrated banking sectors. The second chapter studies risk shifting of banks and identifies a pecuniary externality, which provides a new rationale for macroprudential regulation. In particular, the externality leads to a constrained-inefficient market outcome even if deposits are correctly priced and the cost of bank failure are internalized. Interestingly, optimal regulation increases banks' profit margins in order to induce more prudent lending and is thus associated with redistribution from savers to banks and corporate firms. The third chapter analyzes the procyclicality of capital requirements that are a key concern in the context of regulatory reform. It provides new insights about how capital requirements should optimally adjust to adverse shocks as to promote financial stability and to fund profitable investments. Finally, the fourth chapter develops a model of the bank-sovereign nexus that captures the spillovers and feedback loops of risk originated in the banking sector. The analysis reveals two main chan.

Download or read book Essays on Financial Markets and Regulations written by Cuneyt Orman and published by . This book was released on 2008 with total page 140 pages. Available in PDF, EPUB and Kindle. Book excerpt:

Download or read book Fiscal Policy in a Financially and Economically Interconnected World written by Maria Jose Delgado Coelho and published by . This book was released on 2016 with total page 206 pages. Available in PDF, EPUB and Kindle. Book excerpt: The increasing degree of financial-macro linkages in advanced economies as demonstrated by the recent Great Recession in the United States and Europe raises new challenges for fiscal policy making, in that it expands the potential impact of both tax and expenditure reforms through uncharted channels. In addition, we are faced with an increasingly globalized world, with substantial spillovers of economic policy between states and countries being driven not only by shifts in the demand for goods and services (as understood in the classic international trade literature), but also by movement of labor and highly mobile capital flows. This interdependence conditions the efficiency of domestic fiscal policy in unprecedented ways not captured by most standard closed economy macroeconomic models or traditional optimal tax theory. This dissertation is motivated by the combination of these two forces and investigates the reform of the financial sector and countercyclical new Keynesian fiscal stimuli as policy responses in the aftermath of the latest financial crisis and recession. The first chapter analyzes the effect of the introduction of financial transaction taxes in equity markets in France and Italy in 2012 and 2013, respectively, on asset returns, trading volume and market volatility. Using two natural experiments in a difference-in-differences design, I identify bounds on elasticity estimates for three categories of avoidance channels: real substitution away from taxed assets, retiming (anticipation of transaction realizations and portfolio lock-in), and tax arbitrage (cross-platform and financial instrument shifting). I find large responses on all margins, that account for significantly lower revenues than projected. By far the strongest behavioral response comes from high-frequency trading lock-in on regulated exchanges, with a high tax elasticity of this type of turnover in the order of -9. The results shed light on features of optimal FTT design, suggesting they may be poor instruments for both revenue-raising and Pigouvian objectives. The second chapter complements the empirical analysis of the first chapter by analyzing the welfare implications of a linear financial transactions tax in a multi-period portfolio selection model with heterogeneous agents. Under certain conditions over the redistribution of government revenues, with no Pigouvian motives, I find such a tax may induce first-order losses due to the distortion of idiosyncratic risk-sharing (an implication which differs importantly from other literature on the role of taxation under uncertainty). A transaction tax induces both a contemporaneous inaction region and intertemporal shifting of transaction realizations. Given a segmented market over multiple trading platforms and the choice of at least two different tax instruments, I develop sufficient statistic formulas that differ from standard optimal commodity tax theory in that they account for untaxed capital accumulation, market structure rents, and uncertain returns. Furthermore, I explicitly consider retiming responses in transaction realizations and tax arbitrage in the form of shifting across trading platforms by allowing investors to choose trading in two different markets, and am able to match such parameters to empirically measured elasticities from my the first chapter, thus informing optimal FTT policy rates. In the case of a linear tax with a single market, the simplest model in this chapter suggests a cash equity transaction tax of 0.67% on the notional value of transactions purely to maximize revenue. A transaction tax induces both a contemporaneous inaction region and intertemporal shifting of transaction realizations. The third and final chapter deals with more aggregate effects of fiscal policy. It primarily contributes to the open economy local fiscal multiplier literature by estimating regional output and employment responses to federal expenditure shocks in the European Union. Specifically, I use a novel methodology and dataset on fiscal transfers from the European Commission to subnational regions. Mimicking the literature on foreign aid and growth, I use shocks to the supply of federal transfers (European Commission commitments) of structural fund spending by subnational region as instruments for annual realized expenditure in a panel from 2000-2013. By correctly isolating these fiscal shocks, I find significantly larger fiscal multipliers than the existing literature - a large, contemporaneous multiplier of 1.7, which translates into a cumulative multiplier of 4 three years after the shock. Furthermore, using a novel dataset on bilateral trade between EU regions, I find evidence of demand-driven spillovers up to three years after a shock. In addition to direct implications for federal public finance management globally, these results represent an important step in our understanding of the effect of fiscal stimulus and austerity measures in countries undergoing financial and sovereign debt crises. Overall, this dissertation aims at answering key questions brought about by the increasing complexity and dynamism of financial and economic interdependence of agents across states and countries. The implications of the results presented here are broad, including the development of comprehensive global financial regulation, the characterization of banking and fiscal unions in the Eurozone, and the incorporation of financial markets into new macroeconomic policy making.

Download or read book Essays on Taxation and Capital Markets written by John Hancock and published by . This book was released on 2001 with total page 97 pages. Available in PDF, EPUB and Kindle. Book excerpt:

Download or read book Essays on Financial Regulation Stability and Inequality written by Maria Alejandra Amado Garfias and published by . This book was released on 2021 with total page 127 pages. Available in PDF, EPUB and Kindle. Book excerpt: Evidence has shown that regulatory policies aimed at achieving financial stability disproportionally affect firms facing tighter borrowing constraints. However, little is known about the consequences of these policies in dollarized economies, where cheaper dollar financing plays a crucial role in relaxing small firms' borrowing constraints. Furthermore, the impact of these policies on income distribution has remained unexplored in the literature. In Chapter 1, I propose a theoretical mechanism to understand the effects of a tax on foreign currency financial intermediation. I analyze the equilibrium of a credit market game in which currency mismatch acts as a means for relaxing small firms' borrowing constraints. I show that a tax on dollar lending negatively affects the total debt of constrained (small) firms, while it only has compositional effects on total debt of unconstrained (large) firms. In Chapter 2, I study the implementation of a macroprudential FX tax by the Central Bank of Peru. I build a novel dataset that combines confidential data on the universe of loans granted by Peruvian banks to nontradable firms and a confidential dataset on the universe of all formally registered firms. Exploiting the heterogeneity in the strictness of the tax among banks, I provide causal evidence of the heterogeneous effects of this tax on firms of different sizes. I find that a 10% increase in bank exposure to the tax significantly increases disparities in the growth of total loans between small and large firms by 1.5 percentage points. When accounting for firms switching to soles financing from different banks, the effect on large firms financing is only compositional. Chapter 3 explores the links between macroprudential policies and labor income inequality. I develop a survey of two strands of the literature that have remained disconnected thus far: First, the literature that explores the heterogeneous effects of banking regulation and capital controls on firms of different sizes. And second, the literature that studies the drivers of the firm size wage puzzle, and the implications of firm demography on income inequality. I conjecture that, by disproportionally hurting small firms' financing and growth possibilities, macroprudential policies can contribute to increase labor income inequality.

Download or read book OECD Sovereign Borrowing Outlook 2021 written by OECD and published by OECD Publishing. This book was released on 2021-05-20 with total page 94 pages. Available in PDF, EPUB and Kindle. Book excerpt: This edition of the OECD Sovereign Borrowing Outlook reviews developments in response to the COVID-19 pandemic for government borrowing needs, funding conditions and funding strategies in the OECD area.