Assuming a fixed aggregate supply of saving, how does the corporate income tax reduce efficiency according to
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Assuming a fixed aggregate supply of saving, how does the corporate income tax reduce efficiency according to the results of Harberger’s model? How will further losses in efficiency result when the aggregate supply of saving is responsive to changes in its return? Assuming that the aggregate supply of saving is not fixed, how can the corporate income tax be shifted to workers in the long run?
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Harbergers model is a theoretical framework used to analyze the economic effects of taxes particularly the corporate income tax In this model lets explore how the corporate income tax reduces efficien...View the full answer
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Related Book For 
Public Finance A Contemporary Application Of Theory To Policy
ISBN: 9780538754460
10th Edition
Authors: David N Hyman
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