The Impact of Land Value Increment Tax Cuton Economic

• Main Authors: Li-hui Liu, 劉麗慧
• Other Authors: Nai-fong Kuo
• Format: Others
• Language: zh-TW
• Published: 2013
• Online Access: http://ndltd.ncl.edu.tw/handle/14081308445463328427

碩士 === 世新大學 === 財務金融學研究所(含碩專班) === 101 === The government implemented land value increment tax cut policy to active estate market and boost the domestic economy in 2002 early. Today, the policy have implemented for more ten years. How is the effect? This thesis use Vector AutoRegression(VAR) method to analyze the impact of economic under land value increment tax cut policy. The empirical results are land value increment tax did not have a two-way relationship with gross domestic product, but the construction area and land value increment tax has a one-way relationship. For impact effect, the impact on gross domestic product higher than implement of land value increment tax cut policy, and lower impact on fixed capital formation, employment, population, national savings and construction area. For the forecast error variance decomposition, gross domestic product average explains force impact by national savings. The forecast land value increment tax average explains force impact by employment, gross domestic product, and national savings. The tax reduction in the world is considered as “competitive trump card” and “recession antidote”. It is true to stimulate the economy in the short time, but it is also a double-edged sword especially in the global economy treacherous and unpredictable circumstances. It is better to have complementary measures if the government want to implement tax reduction to boost the domestic economy. On the contrary, excessive tax reduction will cause a financial cliff and that is not conducive to the national economy. The government must be careful.