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Antoniu Predescu, Gheorghe Gradinaru and Iuliana Predescu

Revista Economica, 2012, vol. Supplement, issue 1, 667-670

Abstract: Continual rise in fiscal pressure, at least on average, rise apparent through rise in tax quotas, affects, invariably, both real economy and taxpayers. This can be easily observed in the midst of taxing the consumption of a strategic good such as gasoline (in fact, unleaded gasoline ? chosen here because it is a ?typical? good for the effects an increase in its price prevails on real economy). These effects must, therefore, be quantified with accuracy, in order to obtain, at least, adequate estimations, proper to be utilized for correcting fiscal policy, inclusively in the benefit of real economy. In this paper, we made use of mathematical apparatus centered on the efficiency loss of the tax index, used to compute negative effects causes, or consequences, of fiscal policy from the perspective of an expansionary fiscal policy exerted on gasoline consumption (e.g. on producing, on selling, sqq.).

Date: 2012
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Handle: RePEc:blg:reveco:v:supplement:y:2012:i:1:p:667-670