Loading...
Please wait, while we are loading the content...
Taxing the rich policy, evasion behavior, and portfolio choice: A sustainability perspective
| Content Provider | Semantic Scholar |
|---|---|
| Author | Chen, Kuo-Shing Tsai, Huolien |
| Copyright Year | 2018 |
| Abstract | In the spring of 2016, the tax-evasion revelations from the Panama Papers regarding the international clients of Mossack Fonseca shook the financial world. This article sheds light on whether taxing the rich will generate the tax-evasion effect, if the evasion behavior will affect the portfolio choice, and finally, the broader economic impacts of such tax evasion. The main insights are: (1) the evidence from the Panama Papers demonstrates that the supply of tax evasion services explains that evasion behavior rises steeply with wealth; (2) we also affirm that higher tax rates induce greater tax evasion activity and explain why the taxation system introduced by Hollande, which levied high tax on millionaires, failed in France; and (3) the primary components of billionaires’ asset allocation involve adequately weighting long-term stock holdings. Finally, these findings provide some evidence on the sustainability of taxing the rich and the sustainable investing behavior of the ultra-wealthy. |
| Starting Page | 1526362 |
| Ending Page | 1526362 |
| Page Count | 1 |
| File Format | PDF HTM / HTML |
| DOI | 10.1080/23311975.2018.1526362 |
| Volume Number | 5 |
| Alternate Webpage(s) | https://www.econstor.eu/bitstream/10419/206120/1/23311975.2018.1526362.pdf |
| Alternate Webpage(s) | https://www.cogentoa.com/article/10.1080/23311975.2018.1526362.pdf |
| Alternate Webpage(s) | https://doi.org/10.1080/23311975.2018.1526362 |
| Language | English |
| Access Restriction | Open |
| Content Type | Text |
| Resource Type | Article |
