IDEAS home Printed from https://ideas.repec.org/a/wly/jintdv/v31y2019i8p764-785.html
   My bibliography  Save this article

Tax Reform and Public Revenue Instability in Developing Countries: Does the Volatility of Development Aid Matter?

Author

Listed:
  • Sèna Kimm Gnangnon
  • Jean‐François Brun

Abstract

This paper examines the relationship between tax transition reform, development aid volatility, and public revenue instability in developing countries. Empirical findings show that tax reform exerts a negative effect on tax revenue instability, and the magnitude of this negative effect diminishes as the degree of development aid volatility increases. Specifically, beyond a certain level of development aid volatility, tax reform enhances tax revenue instability. Overall, these findings suggest that higher development aid flows to developing countries should be accompanied by a lower aid volatility so as to ensure that tax reform would generate lower tax revenue instability in recipient countries. © 2019 John Wiley & Sons, Ltd.

Suggested Citation

  • Sèna Kimm Gnangnon & Jean‐François Brun, 2019. "Tax Reform and Public Revenue Instability in Developing Countries: Does the Volatility of Development Aid Matter?," Journal of International Development, John Wiley & Sons, Ltd., vol. 31(8), pages 764-785, November.
  • Handle: RePEc:wly:jintdv:v:31:y:2019:i:8:p:764-785
    DOI: 10.1002/jid.3436
    as

    Download full text from publisher

    File URL: https://doi.org/10.1002/jid.3436
    Download Restriction: no

    File URL: https://libkey.io/10.1002/jid.3436?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Gnangnon, Sèna Kimm, 2022. "Internet, Participation in International Trade, and Tax Revenue Instability," Journal of Economic Integration, Center for Economic Integration, Sejong University, vol. 37(2), pages 267-315.
    2. Gnangnon, Sèna Kimm, 2023. "Productive capacities, structural economic vulnerability and fiscal space volatility in developing countries," KDI Journal of Economic Policy, Korea Development Institute (KDI), vol. 45(3), pages 25-48.
    3. Gnangnon, Sèna Kimm, 2021. "Tax reform and public debt instability in developing countries: The trade openness and public revenue instability channels," Economic Analysis and Policy, Elsevier, vol. 69(C), pages 54-67.
    4. Panika Jain & Samaresh Bardhan, 2023. "Energy aid volatility across developing countries: a disaggregated sectoral analysis," International Economics and Economic Policy, Springer, vol. 20(3), pages 457-483, July.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:wly:jintdv:v:31:y:2019:i:8:p:764-785. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Wiley Content Delivery (email available below). General contact details of provider: http://www3.interscience.wiley.com/journal/5102/home .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.