Group Title: analysis of the international tax effort model
Title: An Analysis of the international tax effort model
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 Material Information
Title: An Analysis of the international tax effort model
Physical Description: x, 179 leaves : ; 28 cm.
Language: English
Creator: Taylor, Kenna Clyde, 1945- ( Dissertant )
Goddard, Frederick O. ( Thesis advisor )
Langham, Max ( Reviewer )
Davis, Ronnie J. ( Reviewer )
Vernon, Jack ( Reviewer )
Publisher: University of Florida
Place of Publication: Gainesville, Fla.
Publication Date: 1979
Copyright Date: 1979
Subjects / Keywords: Taxation   ( lcsh )
Economics thesis Ph. D
Taxation -- Developing countries   ( lcsh )
Dissertations, Academic -- Economics -- UF
Genre: bibliography   ( marcgt )
non-fiction   ( marcgt )
theses   ( marcgt )
Abstract: The study examines previous international tax effort models that have been generated to help explain and prescribe the tax performance of less developed countries and discusses the methodological problems inherent in those models. The study then offers the outline of a choice theoretical fiscal decision maker model for which the traditional international tax effort model serves as a rough approximation . In the fiscal decision maker model, the tax base availability interpretation of taxable capacity is replaced with the concept of the taxable capacity of a country as that tax share generated by the common adaptation of fiscal decision makers to predictable changes in the socioeconomic environment in which they act. Tax effort is conceived as deriving from particular country differences in the socioeconomic environment to which the fiscal decision maker can adapt to some unknown degree. In pursuing political survival as his primary goal, the fiscal decision maker chooses those taxes and social good expenditures that maximize the probability of his reelection or reappointment. The lower is the cost of tax administration, the more closely actual social good provision approximates preferred social good provision, and the lower is actual tax resistance activity, the greater will be the probability of reelection or reappointment of the fiscal decision maker. In the reinterpreted international tax effort model, the level of development variable becomes a proxy for the nexus of changes in tax resistance and social good preference while the openness variable becomes a proxy for the cost of tax administration. Tax effort is then determined by the willingness of the fiscal decision maker to exploit taxable capacity. The expansion of the consumption and planning horizons of the citizenry and the consequent development of representative rather than leadership role playing by the fiscal decision maker implies that taxable capacity will be dependent on particular in-country influences for fiscally complex less developed countries. Consequently, the traditional indicators of development were hypothesized as not being able to predict taxable capacity in cross section regressions for fiscally complex less developed countries. Another implication of the model is that nonmonetary as well as monetary proxies can be used to estimate the combined change in tax resistance and social good preference that defines the fiscal dimensions of economic development. Another hypothesis was that former British and French colonial dependencies would have a higher taxable capacity than other fiscally simple less developed countries since the former have a lower cost of tax administration. Fiscally simple and fiscally complex less developed countries are delineated, and simple linear regression equations are specified, all of which include dummy variables for former French and British colonial dependency and some of which include nonmonetary proxies for the level of development. Empirical support is found for the hypothesized fiscally simple-fiscally complex dichotomy, the hypothesized higher taxable capacity of former colonial dependencies, and the significance of nonmonetary proxies of the level of development. The interpretation that a high tax effort by a less developed country implies that outside aid will be productively used does not receive support since tax effort and the long term rate of growth are not significantly correlated. The study suggests that several taxable equations be used to generate tax effort rankings for fiscally simple less developed countries and that those particular countries that change rank significantly be singled out for case study. The international tax effort model should not be used for fiscally complex less developed countries
Statement of Responsibility: by Kenna Clyde Taylor, Jr.
Thesis: Thesis--University of Florida.
Bibliography: Bibliography: leaves 169-178.
General Note: Typescript.
General Note: Vita.
 Record Information
Bibliographic ID: UF00099524
Volume ID: VID00001
Source Institution: University of Florida
Holding Location: University of Florida
Rights Management: All rights reserved by the source institution and holding location.
Resource Identifier: alephbibnum - 000092945
oclc - 06025255
notis - AAK8354


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