Author

  • Ahmad JafariSamimi

    • University of Mazandaran, Babolsar-Iran
    • Iran, Islamic Republic of

  • Hoda Zobeiri

    • University of Mazandaran, Babolsar-Iran
    • Iran, Islamic Republic of

  • Habib Ansari Samani

    • Islamic Azad University Branch of Sahrekord, Sahrekord-Iran
    • Iran, Islamic Republic of

  • Younes Nademi

    • University of Ayatollah Boroojerdi, Boroojerd-Iran
    • Iran, Islamic Republic of

Abstract

The purpose of this paper is examining the Laffer curve for inflation tax. To do so we have used Hansen (1996, 2000), threshold regression model to study whether a non-linear relationship between inflation Tax and inflation based on two regimes of inflation (low and high inflation regimes). Our findings support a standard Laffer curve shape in Iran with a threshold inflation rate of 15.24 percentage points. In other words, only at inflation below this rate inflation tax will increase as a result of higher inflation.

Keywords

References

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How to Cite

JafariSamimi, A., Zobeiri, H., Samani, H. A., & Nademi, Y. (2011). Inflation and Inflation Tax in Iran: A Threshold Regression ‘Laffer Curve’ Model. Journal of Economics and Behavioral Studies, 3(3), 163-168. https://doi.org/10.22610/jebs.v3i3.268

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Section

Research Paper

Published in

Vol. 3 No. 3 (2011) Fiscal Policy, HRM & Corporate Strategy View issue contents

Published

2011-09-15

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