EconPapers    
Economics at your fingertips  
 

Vertical Tax Externalities in the Theory of Fiscal Federalism

Michael Keen

IMF Staff Papers, 1998, vol. 45, issue 3, 454-485

Abstract: Federal structures create the possibility of vertical tax externalities between levels of government, with the private sector's response to the tax policy decisions of one level affecting the tax base of the other. Such effects arise most obviously when both levels of government co-occupy the same tax base. This paper reviews and extends recent results on the implications of such externalities for the relationship between state and federal tax rates, the equilibrium levels of these taxes, the (ir)relevance of experience in federal countries for analyzing international tax issues, the pattern of intergovernmental grants, and the assignment of tax powers.

JEL-codes: H21 H3 H7 (search for similar items in EconPapers)
Date: 1998
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (191)

Downloads: (external link)
http://www.jstor.org/stable/3867412?origin=pubexport main text (application/pdf)
Access to full text is restricted to subscribers.

Related works:
Working Paper: Vertical Tax Externalities in the Theory of Fiscal Federalism (1997) Downloads
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:pal:imfstp:v:45:y:1998:i:3:p:454-485

Ordering information: This journal article can be ordered from
http://www.springer. ... cs/journal/41308/PS2

Access Statistics for this article

More articles in IMF Staff Papers from Palgrave Macmillan
Bibliographic data for series maintained by Sonal Shukla () and Springer Nature Abstracting and Indexing ().

 
Page updated 2025-03-19
Handle: RePEc:pal:imfstp:v:45:y:1998:i:3:p:454-485