The Corporation Income Tax, Depreciation Policy and Optimal Behaviour of a Competitive Firm

Timothy Muzondo

Working Paper from Economics Department, Queen's University

Abstract: This paper analyzes the effects of the corporation income tax, and depreciation policy on the behaviour of a competitive firm, using a dynamic framework with non-separable adjustment costs. While the long-run effects are similar to the static optimization, the short-run effects run counter. For example, under certain conditions an increase in the tax leads to a competitive firm to reduce its short-run output.

Pages: 21
Date: 1976
References: Add references at CitEc
Citations:

There are no downloads for this item, see the EconPapers FAQ for hints about obtaining it.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:qed:wpaper:245

Access Statistics for this paper

More papers in Working Paper from Economics Department, Queen's University Contact information at EDIRC.
Bibliographic data for series maintained by Mark Babcock ().