Dynamic Optimal Taxes Constrained by Hidden Economy: An Empirical Study——Based on Time-Varying Parameter Model
2012
Because of the evasion of tax monitoring,hidden economic activities have inverse impact on macro-tax burden.As omitted by national economic accounting and supervision,hidden economy plays its role in tax cutting.Influenced by hidden economy,the real economic dynamic imbalance determines that the optimal taxes will be constantly changeable;and there is no fixed level of tax that can realize the maximization of economic growth.Tax income is not the factor stunting economic growth;and the current macro tax is suitable.The field of hidden economy is the potential sources of tax;and we should pay more attention to the fairness of tax on observed economy and hidden economy with the consideration of balancing tax of different industries and sectors in structural tax cutting.
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