 A brief history of time: Taxation and mineral production in developing countriesMamadou Tanou Balde Resources Policy, 2020, vol. 68, issue C Abstract: This paper investigates the impact of taxation on the lead time from discovery to production by estimating duration models. Using a dataset of 188 gold mines, covering 24 developing countries from 1950 to 2017, both parametric (Weibull), semi-parametric model (Cox model), and non-parametric (Kaplan-Meir estimate) are applied to determine the role of taxation. The study contributes to the literature by showing empirically that according to the level of corporate income tax and royalty, and the nature of the fiscal regime used by a country to capture its share of the revenues stemming from the mineral extraction, the first gold pour take place sooner or later mainly when the corporate income tax is greater than 35% and the royalty rate above 5%. Most importantly, it documents that a progressive mineral regime shortens the length of time as well as a low-tax regime. Lastly, the findings suggest also that increasing prices at the time of discovery and the geological quality of the deposit play a critical role in encouraging investors to come into production earlier. Keywords: Fiscal policy; Inter-temporal firm choice; Resources policy; Survival analysis (search for similar items in EconPapers) Downloads: (external link) Related works: Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text Persistent link: https://EconPapers.repec.org/RePEc:eee:jrpoli:v:68:y:2020:i:c:s0301420719309699 DOI: 10.1016/j.resourpol.2020.101687 Access Statistics for this article Resources Policy is currently edited by R. G. Eggert More articles in Resources Policy from Elsevier |
Is your work missing from RePEc? Here is how to contribute.
Questions or problems? Check the EconPapers FAQ or send mail to .
EconPapers is hosted by the
School of Business at Örebro University.