The impact of ACE on investment: the Italian case

Alessandro Zeli ()
Additional contact information
Alessandro Zeli: ISTAT, Italian Institute of Statistics

Economia Politica: Journal of Analytical and Institutional Economics, 2018, vol. 35, issue 3, No 3, 762 pages

Abstract: Abstract An ACE tax relief was introduced in Italy in 2011; this paper is focused on its impact on firms’ investment expenses. So far studies on ACE are mainly focused on the impact of ACE on corporate finance and balancing the fiscal bias towards the debt financing. However it is important to analyze the impact of ACE also on firms’ performance indicators such as investments. We utilize a balanced panel spanning from 2007 to 2013 to estimate a DiD model. Our findings confirm a positive impact of ACE on investment and the effect on cash flow is larger for small firms than for large firms.

Keywords: ACE; Investment incentives; Panel data; DiD model (search for similar items in EconPapers)
JEL-codes: C22 H25 H32 (search for similar items in EconPapers)
Date: 2018
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (2)

Downloads: (external link)
http://link.springer.com/10.1007/s40888-018-0116-4 Abstract (text/html)
Access to the full text of the articles in this series is restricted.

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:spr:epolit:v:35:y:2018:i:3:d:10.1007_s40888-018-0116-4

Ordering information: This journal article can be ordered from
http://www.springer.com/economics/journal/40888

DOI: 10.1007/s40888-018-0116-4

Access Statistics for this article

Economia Politica: Journal of Analytical and Institutional Economics is currently edited by Alberto Quadrio Curzio

More articles in Economia Politica: Journal of Analytical and Institutional Economics from Springer, Fondazione Edison
Bibliographic data for series maintained by Sonal Shukla () and Springer Nature Abstracting and Indexing ().