Discrete Prices and the Incidence and Efficiency of Excise Taxes

2020 ◽  
Vol 12 (4) ◽  
pp. 111-143
Author(s):  
Christopher T. Conlon ◽  
Nirupama L. Rao
Keyword(s):  
Consumer Welfare ◽  
Tax Incidence ◽  
Tax Revenue ◽  
Excess Burden ◽  
Excise Taxes ◽  
Nominal Rigidity ◽  
Distilled Spirits ◽  
Level Data ◽  
Retail Prices ◽  
The Relationship

This paper uses UPC-level data to examine the relationship between excise taxes, retail prices, and consumer welfare in the distilled spirits market. We document a nominal rigidity in retail prices that arises because firms largely choose prices that end in 99 cents and change prices in whole-dollar increments. A correctly specified model, like an ordered logit, takes this discreteness into account when predicting the effects of alternative taxes. Explicitly accounting for price points substantially impacts estimates of tax incidence and the excess burden cost of tax revenue. Meaningful nonmonotonicities in these quantities expand the potential considerations in setting excise taxes. (JEL H22, H71, L11, L66)

scholarly journals Gasoline and Diesel Tax Incidence: The 2003 Washington State Nickel Funding Package

2016 ◽  
Vol 16 (3) ◽  
pp. 1539-1562 ◽  
Author(s):  
Louis Silvia ◽  
Christopher T. Taylor
Keyword(s):  
Diesel Fuel ◽  
Confounding Factor ◽  
Washington State ◽  
Tax Incidence ◽  
Excise Taxes ◽  
Retail Prices ◽  
Local Station ◽  
Pass Through ◽  
Station Density

Abstract This paper considers a previously unexamined increase in excise taxes on gasoline and diesel fuel that were part of Washington State’s Nickel Funding Package of 2003. We fail to reject full pass-through of the amount of the tax increase to retail prices in both products. We find no significant sensitivity of retail pass-through to station locations relative to state borders or to retail competitive conditions as measured by local station density. The expansion of hypermarkets in Washington State during the period was a confounding factor in estimating tax pass-through effects.

Middle and Below Living Standards: What Can We Learn from Beyond Income Measures of Economic Well-being?

2018 ◽  
Author(s):  
Marii Paskov ◽  
Joan E. Madia ◽  
Tim Goedemé
Keyword(s):  
Well Being ◽  
Material Deprivation ◽  
Living Standards ◽  
Household Level ◽  
The Great Recession ◽  
Level Data ◽  
Working Age ◽  
Household Incomes ◽  
The Relationship ◽  
Economic Well Being

This chapter complements the income-based measures of living standards on which earlier chapters have focused by incorporating non-income dimensions of economic well-being into its analysis, including indicators of material deprivation, economic burdens, and financial stress. It analyses how working-age households around and below the middle of the income distribution fared in European countries in the years before, during, and after the Great Recession. Harmonized household-level data across the members of the EU are analysed to see whether the evolution of these various non-income measures present a similar or different picture to household incomes over time. To probe what lies behind the patterns this reveals, four quite different countries are then examined in greater depth. Finally, the chapter also explores the relationship between material deprivation for households around and below the middle and overall income inequality.

scholarly journals Malpractice Environment vs Direct Litigation: What Drives Nursing Home Exit?

2018 ◽  
Vol 55 ◽  
pp. 004695801878799
Author(s):  
R. Tamara Konetzka ◽  
Hari Sharma ◽  
Jeongyoung Park
Keyword(s):  
Nursing Home ◽  
Nursing Homes ◽  
Fixed Effects ◽  
Online Survey ◽  
Market Competition ◽  
Consumer Welfare ◽  
Data Sets ◽  
For Profit ◽  
The Impact ◽  
The Relationship

An ongoing concern about medical malpractice litigation is that it may induce provider exit, potentially affecting consumer welfare. The nursing home sector is subject to substantial litigation activity but remains generally understudied in terms of the effects of litigation, due perhaps to a paucity of readily available data. In this article, we estimate the association between litigation and nursing home exit (closure or change in ownership), separating the impact of malpractice environment from direct litigation. We use 2 main data sources for this study: Westlaw’s Adverse Filings database (1997-2005) and Online Survey, Certification and Reporting data sets (1997-2005). We use probit models with state and year fixed effects to examine the relationship between litigation and the probability of nursing home closure or change in ownership with and without adjustment for malpractice environment. We examine the relationship on average and also stratify by profit status, chain membership, and market competition. We find that direct litigation against a nursing home has a nonsignificant effect on the probability of closure or change in ownership within the subsequent 2 years. In contrast, the broader malpractice environment has a significant effect on change in ownership, even for nursing homes that have not been sued, but not on closure. Effects are stronger among for-profit and chain facilities and those in more competitive markets. A high-risk malpractice environment is associated with change of ownership of nursing homes regardless of whether they have been directly sued, indicating that it is too blunt an instrument for weeding out low-quality nursing homes.

scholarly journals Has fertility increased at very high levels of development?

2020 ◽  
Author(s):  
Hampton Gray Gaddy
Keyword(s):  
Human Development Index ◽  
National Level ◽  
Low Fertility ◽  
Clear Relationship ◽  
Fertility Rates ◽  
Social Scientists ◽  
The Past ◽  
Level Data ◽  
The Relationship ◽  
Very High

Increasing development is historically associated with fertility declines. However, demographic paradigms disagree about whether that relationship should hold at very high levels of development. Using national-level data through 2005, Myrskylä, Kohler, and Billari (2009) found that very high levels of the Human Development Index (HDI) were associated with increasing total fertility rates (TFR). This paper updates that finding with data up to 2017. It investigates whether the observed association has continued to hold for the countries originally studied and whether it holds for countries that have more recently reached very high HDI. For countries that reached HDI ≥ 0.8 in 2000 or before (n=27), the data indicate no clear relationship between changes in HDI and TFR at HDI ≥ 0.8. There is also no clear relationship for countries that reached HDI ≥ 0.8 between 2001 and 2010 (n=13). For countries that reached HDI ≥ 0.8 in 2000 or before, there appear to have been notable increases in TFR between 2000 and 2010, but those gains appear to have completely reversed between 2010 and 2017. The past finding of TFR increases at very high levels of development has not borne out in recent years. In fact, TFRs declined markedly in very high development countries between 2010 and 2017. This paper contributes to the debate over the relationship between development and fertility. That debate has an important bearing on how low fertility is conceived by social scientists and policymakers.

scholarly journals KEPATUHAN WAJIB PAJAK MEMEDIASI DETERMINAN PENERIMAAN PAJAK PENGHASILAN

2017 ◽  
Vol 21 (2) ◽  
pp. 318
Author(s):  
Rachmawati Meita Oktaviani ◽  
Pancawati Hardiningsih ◽  
Ceacilia Srimindari
Keyword(s):  
Income Tax ◽  
Tax Compliance ◽  
Sampling Technique ◽  
Survey Method ◽  
Tax Revenue ◽  
Factors Affecting ◽  
Independent Variables ◽  
Tax Revenues ◽  
The Relationship ◽  
Income Tax Revenue

This study aims to examine and analyze the factors affecting income tax revenues with tax compliance as an intervening variable. The study consists of three independent variables that tax penalties, the service tax authorities, and awareness of the taxpayer. While this research is tied in income tax revenues and intervening variable is tax compliance.This study used purpose sampling technique and survey method with questionnaires in collecting data. Respondent were sampled in this study is an individual taxpayer who performs is 120 respondent in Semarang. Research data analysis using multiple analysis with the path analysis.The results showed that the variable tax penalties and service tax authorities an effect on tax compliance, awareness taxpayer has no effect on tax compliance, tax penalties, awareness of taxpayers and taxpayer compliance effect on income tax revenue, the service tax authorities had no effect on tax revenue income. Tax compliance successfully mediate the relationship between the variables of service tax authorities against income tax revenue. Tax compliance  not successfully mediate the relationship between the tax penalties and awareness taxpayer against income tax revenue.

scholarly journals The Relationship between Tax Revenue and Economic Growth in Nepal: A Co-integration Approach

2018 ◽  
Vol 11 (1) ◽  
pp. 28-36
Author(s):  
Gautam Maharjan
Keyword(s):  
Economic Growth ◽  
Error Correction ◽  
Unit Root ◽  
Unit Root Test ◽  
Error Correction Model ◽  
Series Data ◽  
Tax Revenue ◽  
Correction Model ◽  
The Impact ◽  
The Relationship

The main objective of this paper is to examine the relationship between tax revenue and economic growth in Nepal. The 43 years' annual time series data from 1974/75 to 2016/17 of GDP, tax revenue and nontax revenue have been used to test the causal relationship of the variables. A unit root test, Engle-Granger’s co-integration and Error Correction Model have been applied for the data analysis. The variables have been found stationary after first differencing I(1) when Augmented Dickey-Fuller unit root test is employed. From Engel-Granger test, it has been found that the variables are co-integrated. The short-term coefficients are not significant, however error correction term (ECT) is significant and contains a negative sign in the error correction model (ECM). It validates the ECM model. The ECT has shown that the annual speed of adjustment from disequilibrium to equilibrium is 34.3 percent. So far as the relationship is concerned, there is a long run relationship between tax revenue and economic growth in Nepal controlling the non-tax revenue. The impact of tax revenue on economic growth could be a good impetus for the policy maker and planner to increase the collection of revenue for the country.

scholarly journals The role of symptomatic presentation in influenza A transmission risk

2016 ◽  
Vol 145 (4) ◽  
pp. 723-727 ◽  
Author(s):  
R. WARDELL ◽  
K. PREM ◽  
B. J. COWLING ◽  
A. R. COOK
Keyword(s):  
Influenza A ◽  
Transmission Risk ◽  
Transmission Model ◽  
Child Transmission ◽  
Household Level ◽  
Level Data ◽  
Discrete Generation ◽  
The Relationship ◽  
Relative Infectivity

SUMMARYComputer models can be useful in planning interventions against novel strains of influenza. However such models sometimes make unsubstantiated assumptions about the relative infectivity of asymptomatic and symptomatic cases, or conversely assume there is no impact at all. Using household-level data from known-index studies of virologically confirmed influenza A infection, the relationship between an individual's infectiousness and their symptoms was quantified using a discrete-generation transmission model and Bayesian Markov chain Monte Carlo methods. It was found that the presence of particular respiratory symptoms in an index case does not influence transmission probabilities, with the exception of child-to-child transmission where the donor has phlegm or a phlegmy cough.

Fiscal and regulatory effects of the tobacco excise duty reform in Moldova: lessons for Ukraine

2021 ◽  
Vol 2021 (3) ◽  
pp. 46-59
Author(s):  
Vyacheslav IONITSE ◽  
◽  
Tetiana KOSCHUK ◽  
Keyword(s):  
Low Cost ◽  
Tobacco Products ◽  
Know How ◽  
Excise Duty ◽  
Excise Taxes ◽  
Retail Prices ◽  
Regulatory Effects ◽  
Cut Tobacco ◽  
Fine Cut Tobacco ◽  
Excise Duties

The article analyses the experience of reforming the excise duty on tobacco products in Moldova in order to build an information base of how innovations in taxation have been integrated abroad and how this experience is taken into account when making administrative decisions in Ukraine. Moldova has implemented a somewhat radical fiscally oriented excise policy, and its excise duty reform for certain types of tobacco products has often been ambiguous in terms of ensuring compliance with EU standards and attaining the claimed objectives. Up to 2020, the country had diverging excise duty rates for filter and non-filter cigarettes and minimum retail prices for these products, a practice that was contrary to the requirements of European harmonized excise duty accrual. In Moldova, the excise duty on heated tobacco products, which are potentially less harmful to human health, is set at the minimum excise duty for cigarettes, but e-cigarette liquids are subject to no excise taxation at all. The Moldovan excise duty on fine-cut tobacco is greater than 160% of the excise duty on cigarettes, but the steep rise in excise taxes has left cigars, cigarillos and other smoking tobacco unaffected. The country still has a room to increase the sales of certain types of tobacco products that will be in demand among smokers for their low cost, while paying rather modest excise duties. In conclusion, Moldova's experience in tobacco excise duty reform is controversial. None of the “taxation know-how” initiatives in Moldova can be called a success and cannot be recommended as an example for Ukraine to follow. Rather, Moldova's excise policy should be considered as an example of introducing ambiguous measures in order to hedge itself from making any glaring mistakes.

Financial Risk of Conventional and Islamic Banks: Does Institutional Quality Matter?

2021 ◽  
Vol 12 (3) ◽  
pp. 510-524
Author(s):  
Normaizatul Akma Saidi Et.al
Keyword(s):  
Credit Risk ◽  
Financial Risk ◽  
Liquidity Risk ◽  
Islamic Banks ◽  
Government Effectiveness ◽  
Regulatory Quality ◽  
Level Data ◽  
Conventional Banks ◽  
The Relationship ◽  
Conventional And Islamic Banks

Banks play a significant role in financing the economy and take on risky financial activities based on information and trust as they specialized companies with their own specificities. This study was propelled to unravel the determinants that affect financial risk (liquidity risk and credit risk) for conventional and Islamic banks. The bank-level data of conventional and Islamic banks in the regions of Middle East, Southeast Asia, and South Asia between 2006 and 2014 were collected from the Bankscope, which is a commercial database produced by the Bureau van Dijk. Thus, for conventional banks the obtained results exhibited significantly positive relationship between regulatory quality towards liquidity risk. Then, the relationship between regulatory quality towards credit risk was negatively significant for conventional banks. Meanwhile, as for Islamic banks, the relationship between government effectiveness and regulatory quality towards financial risk was insignificant. Hence, the regulators or policymakers are able to identify specific mechanism to improve the risk management of these banks as well through this study.

The Impact of eBay Ratings and Item Descriptions on Auction Prices

2005 ◽  
pp. 149-165
Author(s):  
Mark P. Sena ◽  
C. Edward Heath ◽  
Michael A. Webb
Keyword(s):  
High Quality ◽  
Price Variation ◽  
Bidding Strategies ◽  
Quality Product ◽  
Retail Prices ◽  
Auction Prices ◽  
Bid Prices ◽  
The Impact ◽  
The Relationship ◽  
High Quality Product

Buyers on eBay commonly rely on seller feedback ratings to determine bidding strategies.  Various studies have examined the impact of eBay’s reputation system on auction outcomes.  This study builds on prior research by examining the relationship between seller ratings on auction prices for two distinct product types, DVDs and designer watches and by benchmarking the bid prices against retail prices. The results show that eBay ratings explain a greater degree of price variation in Designer Watches than in DVDs.  The study also suggests that high quality product listings with such features as digital images, formatted pages, and product details may result in higher bid prices.

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