We estimate the effect of temporary tax incentives on equipment investment using shifts in accelerated depreciation. Analyzing data for over 120,000 firms, we present three findings. First, bonus depreciation raised investment in eligible capital relative to ineligible capital by 10.4% between...

This paper considers the internal and external welfare effects of international capital controls and real exchange rate undervaluation in a multi-country setting. I present a dynamic open-economy macro model with an endogenously determined rate of interest on internationally-traded assets. All...

This paper brings the price measurement into the offer curve space. It revitalizes absolute prices from relative price. It then splits the impact of depreciation into two stages, to prove that it is more damaging than import tariff

In this article we focus on a representative firm that can decide when to invest under default risk. On the one hand, this firm can benefit from generous tax depreciation allowances, on the other hand it faces a default risk. Our aim is to study the effects of tax depreciation allowances in a...

In this article we focus on a representative firm that can decide when to invest under default risk. On the one hand, this firm can benefit from generous tax depreciation allowances, on the other hand it faces a default risk. Our aim is to study the effects of tax depreciation allowances in a...

Age, time and vintage are key determinants of house prices, yet they cannot be included together linearly or as dichotomous variables in hedonic regressions as construction time plus age of house = sale time. We introduce a method where the estimates of the age, time and vintage effects on...

India ranks fifth in wind energy installations in the world; with an installed wind capacity is 22 GW at the end of 2014. This has been made possible by a combination of federal financial incentives and state-level feed in tariffs. The federal policies are accelerated depreciation, which allows...

We calculate the tax lives that would correspond to measures of economic depreciation under a recent study by Geltner and Bokhari that measures economic depreciation incorporating data on capital improvement expenditures. Using those new measures, we find that tax depreciation for nonresidential...