The value of studies for reducing uncertainty about the revenue maximizing tax rate is considered
from the viewpoint of a decision-maker who can set the rate. A simple approximation of the maximum
value of such studies for a decision - maker who thinks the existing rate is optimal is given by
(l/4)VAR(Θ)To where VAR(Θ) is the variance of the decision-makers prior distribution on the elasticity
of income with respect to the tax rate and T0 is current tax revenue.
(EN)
Φόρος
(EL)
Οικονομετρία
(EL)
Tax
(EN)
Econometrics
(EN)
Σπουδαί - Journal of Economics and Business
English
University of Piraeus
(EN)
1105-8919
2241-424X
SPOUDAI - Journal of Economics and Business; Vol 44, No 3-4 (1994); 107-113
(EN)
Copyright (c) 1994 SPOUDAI - Journal of Economics and Business
(EN)
University of Peiraeus
