| Author (Person) | Bricongne, Jean-Charles, Granelli, Lucia, Hoffmann, Susanne |
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| Author (Corporate) | European Commission: DG Economic and Financial Affairs |
| Publisher | Publications Office of the European Union |
| Series Title | European Economy: Discussion Papers |
| Series Details | Number 68 |
| Publication Date | 27/07/2017 |
| ISBN | 978-92-79-64927-1 |
| ISSN | 2443-8022 |
| Content Type | Research Paper |
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Summary: The purpose of this paper is to assess the effect of fiscal measures on the investment decisions of French non-financial corporations. As a reference framework, we use the model developed by Eudeline et al. (2013). We extend this framework by introducing the effect of fiscal incentives on investments. We estimate the effect of a decrease in the corporate tax rate in France, which passed from 42 % in 1990 to 33.3 % nowadays and is planned to be reduced to 28 % by 2020 and to 25% in 2022. Fiscal measures are found to have a positive effect on investment, although the growth rate of economic activity and the corporate saving rate remain the main drivers of corporate investment. |
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| Source Link |
Link to Main Source
https://ec.europa.eu/info/publications/economy-finance/fiscal-measures-and-corporate-investment-france_en
Alternative sources
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| Subject Categories | Economic and Financial Affairs |
| Subject Tags | Fiscal Policy |
| Keywords | Non-Financial Corporations |
| Countries / Regions | France |
