Optimal Export Tax in Terms of Home Country's Adjustment Weight

2014 ◽  
Author(s):  
Naresh C. Mallick
Keyword(s):  
2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Yue Liang ◽  
Jingqi Dang ◽  
Shuai Chen

PurposeThis study aims to establish the linkage among export tax rebate (ETR), firm innovation and product quality of Chinese agricultural product processing industry (APPI), so that more targeted policy implications can be discussed.Design/methodology/approachUsing highly disaggregated firm-product-destination-level data through 2001 to 2013 of Chinese APPI, this study employs a two-way fixed effects specification to establish the linkage between ETR and product quality, while the mediational model is adopted to examine potential mechanisms.FindingsBaseline estimates show that a 1% increase in ETR rate leads to a significant increase in the product quality of APPI by 0.12% on the whole. However, there is a nonlinear, inverse-U shaped relationship between ETR and product quality, and the optimal inflection point occurs when ERT rate equals 0.15. Mechanism analyses show that firm innovation is an important impact channel, which explains 9.8% of quality improvement induced by raising ETR. Further heterogeneous analyses reveal both the total effects of ETR on product quality and the mediation effects of innovation are dominated by young SMEs (small and medium-size enterprises).Practical implicationsAuthorities can promote the innovation and then product quality improvement of young SMEs by moderately increasing ETR rate. To ensure ETR more effective in improving quality, it is necessary for the government to encourage innovation. Authorities can reduce the risk of innovation failure for low-tech firms by increasing R&D subsidies, while ensuring innovation returns for high-tech firms in combination with stronger intellectual property protection.Originality/valueFirst, this is one of the earlier studies to explore the relationship between ETR and product quality specifically for Chinese APPI. Second, we show firm innovation as an important mediator so that policies aim at raising ETR rates are eventually beneficial to product quality. Third, using the highly disaggregated data, we allow ETR rate to vary across different products, which is an improvement in the accuracy of previous literature. Finally, our research provides additional empirical evidence for revealing the micro-mechanism of ETR affecting firm behaviors.


KINERJA ◽  
2017 ◽  
Vol 18 (2) ◽  
pp. 180
Author(s):  
Lestari Agusalim

This research aims to analyze whether export tax policy and the policy of productivity increment of agro industry based upstream and downstream sectors can increase real GDP growth, agro industry output, andhousehold income. The model used in this research is a comparative static Computable General Equilibrium (CGE) model. The data used are from the 2008 Input-Output Table, the 2008 System Accounting Matrix (SAM)Table, and other relevant suporting sources. The three simulations conducted in this research are: (1) export tax policy on agro industry’s upstream sector (SIM1), (2) export tax and productivity increment policies on agro industry’s upstream sector (SIM2), and (3) export tax and productivity increment policies on agro industry’s upstream and downstream sectors (SIM3). The three simulations will be adjusted to the government’s policies to suport agro industries’ downstream. SIM1 has negative effect on real GDP and only increases agro industry output in certain sectors only. SIM2 and SIM3 have positive effect on real GDP and increases agro industryoutput. All simulations increase non-agricultural household incomes, and decrease agricultural household incomes.Keywords: agroindustry, export tax, real GDP, household income


2018 ◽  
Vol 154 (2) ◽  
pp. 307-325 ◽  
Author(s):  
Jean-Marc Malambwe Kilolo
Keyword(s):  

Author(s):  
Moses Kibe Kihiko

In a bid to foster the continent's industrialization, Sub-Saharan Africa launched industrial clusters or parks for channeling foreign know-how and capital and are bypassing the many obstacles of domestic business environments. Due to the high degree of failure experienced in many parts Africa, the China model of success story can serve as a case study of commitment top leadership, political goodwill, focused legal and regulatory framework, setting up favorable location advantages, tax breaks, duty-free imports of raw materials, export tax exemption, updated and modern technologies. It is also important African industrial development to build local manufacturing capacity, skilled people, including strengthening the concept of public-private partnership, but above all, investing in infrastructure.


2003 ◽  
Vol 01 (02) ◽  
pp. 339-349 ◽  
Author(s):  
Zhiyuan Cui
Keyword(s):  

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