Trade liberalization generates winners and losers within a country. How do policies respond? In this paper, we investigate the responses of local governments to tariff liberalization in China. Tariff reductions reduced local fiscal revenue, mainly through lowering tax revenue from value-added tax and corporate income tax. More than 40% of this tax revenue reduction is due to a lower effective tax rate, suggesting that local governments loosened tax collection enforcement to compensate firms adversely affected by tariff cuts. On the other hand, tightened fiscal revenue constrained local government`s ability to provide social welfare programs or public goods, both of which we do not find positive responses. |
黄炜博士是新加坡国立大学校长特聘助理教授。黄博士曾是美国国家经济研究局（NBER）博士后研究员。黄博士于2016年获得哈佛大学经济学博士学位，于2011年获得北京大学国家发展学院经济学硕士学位，于2008年获得北京大学物理学院物理学学士学位。 他的研究领域是公共经济学，劳动经济学和卫生经济学。他的研究兴趣在健康，教育和种族等领域。他的研究成果已发表在Review of Economic and Statistics, Journal of Labor Economics, American Economic Journal: Applied Economics, Nature, Journal of Economic Perspectives 等学术刊物上。2018年起，他担任Economics of Transition的联合主编。 |
