Research Catalog

Tax Revenue Implications of the Real Exchange Rate Econometric Evidence from Korea and Mexico

Title
Tax Revenue Implications of the Real Exchange Rate [electronic resource]: Econometric Evidence from Korea and Mexico / Virginia Fierro and Helmut Reisen
Author
Fierro, Virginia.
Publication
Paris : OECD Publishing, 1990.

Available Online

Full text online available onsite at NYPL

Details

Additional Authors
Reisen, Helmut.
Description
31 p.; 21 x 29.7cm.
Summary
The variety of channels through which devaluation of the exchange rate impacts on real tax receipts, calls for empirical clarification. This paper should be seen as a first attempt towards empirical evidence. It establishes the causal relationships between the real exchange rate and real tax receipts. A causality test rejects the hypothesis of unidirectional causality running from taxes to the exchange rate. The causal inferences from the Sims test allow to use the real exchange rate as an exogenous determinant in a simple simultaneous equation model. The model endogenises tax yields and tax bases to allow for a test of the significance and relevance of the exchange rate to explain variations in real tax receipts. An important insight results from the distinction of the direct (price) effect and indirect (output) effect of changes in the real exchange rate on tax receipts. A double-logarithmic version of the model with (seasonally adjusted) quarterly data is estimated for Korea and ...
Series Statement
OECD Development Centre Working Papers, 1815-1949 ; no.12
Uniform Title
OECD Development Centre Working Papers, no.12.
Subject
  • Development
  • Korea, Republic of
  • Mexico
LCCN
10.1787/171303142365
OCLC
oecd-lib
Author
Fierro, Virginia.
Title
Tax Revenue Implications of the Real Exchange Rate [electronic resource]: Econometric Evidence from Korea and Mexico / Virginia Fierro and Helmut Reisen
Imprint
Paris : OECD Publishing, 1990.
Series
OECD Development Centre Working Papers, 1815-1949 ; no.12
OECD Development Centre Working Papers, 1815-1949 ; no.12.
Connect to:
Full text online available onsite at NYPL
Indexed Term
Development
Korea, Republic of
Mexico
Added Author
Reisen, Helmut.
Other Standard Identifier
10.1787/171303142365 doi
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