The main objective of this paper was to quantify the long- and short-term impacts of labour market reforms on economic activity in EU countries, including Croatia. Therefore, we derived a model using the pooled mean group estimator (PMG) for the period from 2000 to 2011. Before performing...

This paper contributes to the literature by using propensity score matching to test for causal effects of starting to export on firm performance in Croatian manufacturing firm-level data. The results confirm that exporters have characteristics superior to those of non-exporters. In the main...

In this article we analyze the expected risk of pension funds with different risk profiles in the proxy life-cycle model of investments for the 2nd pillar pension scheme in Croatia. The benefits of implementing proxy life-cycle investments, compared to the previous model of mandatory pension...

Research on bank financial intermediation in a country’s narrower territorial units is scarce, in both domestic and international literature. Banks are almost the only financial intermediaries in narrower territorial units and their role is substantial, ranging from participating in...

Using two different data sets, both derived from the personal income tax files, this paper analyses income inequality and the effects of the personal income tax on after-tax income of employees in Slovenia. It has been shown by using the Kakwani index of progressivity that increases in tax...

This paper examines the existence of the political budget cycle (PBC) at the local unit level in Croatia. The research was focused on a sample of 19 county centres, the City of Zagreb and Pula in the period from 2002 to 2011. During that time three parliamentary (in 2003, 2007 and in 2011) and...

Statistical methods based on Benford’s distribution, Z- and I‡2-statistics are being successfully applied to detect likely accounting and reporting fraud, for example in the daily usage of the Internal Revenue Service in the USA, and in historical analysis of Greek macroeconomic...

The aim of this paper is to analyze the performance and efficiency of the VAT system in B&H and explore the effects of internal and external factors influencing VAT collection. The VAT system in B&H is a consumption-type, single-rate and broad-based system. Ever since its implementation, VAT...

Tackling corporate profit shifting requires appropriate anti-avoidance measures. This article reviews one of these measures, a controlled foreign companies (corporations) regime. It has been implemented in many countries, in some of them as early as the 1960s. The need for its introduction has...

In order to shape tax reform it is necessary objectively to assess the current stateof-the-art of and of the outlook for the tax system. After having reviewed all previous reforms in the light of the consumption-based (interest-adjusted) concept of direct taxation, which was almost...