Economics at your fingertips  

The Influence of Optimal Tax Burden on Economic Activity and Production Capacity

George Abuselidze ()

EconStor Open Access Articles, 2012, 493–503

Abstract: That the modern state couldn’t exist without taxes is something that doesn’t need to be argued to society. It is also acknowledged that tax burden influences not only the budget revenues, but investments, demand and supply, prices and others. All this has direct as well as indirect influence on the economic activity and production capacity. In the concept of tax burden the important fact is the connection of tax burden with the economic activity and production capacity. The influence of tax burden on budget tax revenues and production capacity can be realized in two different ways. On the one hand, tax burden influences production technologies,effective usage of resources that accordingly will be depicted on the production capacity and, on the other hand, the change of tax burden influences budget tax revenues that will be depicted on the economic activity.

Keywords: finance; tax policy; state budget; tax burden; production capacity (search for similar items in EconPapers)
Date: 2012
References: View references in EconPapers View complete reference list from CitEc
Citations View citations in EconPapers (1) Track citations by RSS feed

Downloads: (external link) (application/pdf)

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:

Access Statistics for this article

More articles in EconStor Open Access Articles from ZBW - Leibniz Information Centre for Economics Contact information at EDIRC.
Bibliographic data for series maintained by ZBW - Leibniz Information Centre for Economics ().

Page updated 2019-01-10
Handle: RePEc:zbw:espost:76882