The Causality Relationship between Money and Taxes: An Investigation on OECD Countries
Öz
In this study, it is
investigated the short and long term causality relationship between money
supply and taxation indicators via Chartalist Approach. To analyze this
approach, the relationship between money supply (M3) and taxes (levied on
total-income-expenditures) is evaluated in the 19 countries are the member of
OECD except Euro Countries in 1996-2015 time period. Relations among annual variables
are tested by Johansen Cointegration and Vector Error Correction Model. Findings reveal
that there is a unilateral causality from money supply to tax income in the
short term. However, findings indicate that there is a bilateral causality
relation between money supply and tax income in the long term. Hence, money
supply is a variable influencing and stimulating taxation instruments in the
short term. In the long term, on the other hand, two variables reciprocally
affect each other. Consequently, taxes influence money supply in the long term
and this result supports Chartalist Approach ideas.
Anahtar Kelimeler
Chartalism,Money Supply,Tax Income,Vector Error Correction Model
Kaynakça
- Amable, B. (2011). Moral and Politics in the Ideology of Neoliberalism. Socio-Economic Review, 51 (1): 46-55.
- Anderson, B. (2011). Hayali Cemaatler Milliyetçiliğin Kökenleri ve Yayılması. Çeviren: Savaşır, E. Metis Yayınları. İstanbul.
- Barro, R. J. & Gordon D. B. (1983). Rules, Discretion and Reputation in a Model of Monetary Policy. Journal of Monetary Economics, 12(1): 101-121.
- Bell, S. & Henry, J.F. (2001). Hospitality versus Exchange: The Limits of Monetary Economics, Review of Social Economy, 59 (2): 203-226.
- Bordo, M. & James, H. (2006). One World Money, Then and Now, NBER Working Paper Series.
- Centeno, M.A. & Cohen, J. N. (2010). Global Capitalism: A Sociological Perspective. MA: Polity.
- Centeno, M.A. & Cohen, J. N. (2012). The Arc of Neolberalism. Annual Review of Sociology. Vol: 38. s.s. 317-340.
- Cesarano, F. (1995). The New Monetary Economics and The Theory of Money, Journal of Economic Behavior and Organization, 26: 445-455.
- Frisby, D. (2005). Georg Simmel Modernitenin İlk Sosyoloğu. G. Simmel Modern Kültürde Çatışma. Çev: Gen, E.. İletişim Yayınları. İstanbul. s. 7-53.
- Gnos, C. & Rochon, L.P. (2002). Money Creation and The State A Critical Assessment of Chartalism, International Journal of Political Economy, 32 (3): 41-57.