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The Effect of Taxes and Tax Refunds on the Economic Activity of the Energy Industry in Peru

Author

Listed:
  • Victor Hugo Puican Rodriguez

    (Cesar Vallejo University, Peru)

  • Liliana del Carmen Suárez Santa Cruz

    (Cesar Vallejo University, Peru)

  • Abel Salazar Asalde

    (Cesar Vallejo University, Peru)

  • Alejandro Alcántara Suyón

    (Cesar Vallejo University, Peru)

  • Freddy Manuel Camacho Delgado

    (Fabiola Salazar Leguía National Intercultural University, Peru)

Abstract

Through an empirical analysis of the impact of taxation and tax refunds on the economic activity of the energy industry in Peru, this study seeks to provide an understanding of the economic effects of fiscal policies in a Latin American country with a significant energy sector. Relevant data on taxation and tax refunds in the Peruvian energy sector were collected and the effect of these variables on the main indicator of economic activity in the industry was evaluated. The results suggest that both taxation and tax refunds can significantly impact the economic activity of the energy industry, however, these effects are full when the output of this industry is at medium levels. In addition, the regressive effects of tax taxation can be offset by the positive effects of tax refunds. Overall, this research contributes to understanding the dynamics of fiscal policies in the energy sector of developing economies such as Peru, emphasizing the importance of tailored fiscal measures to promote sustainable energy development and economic growth.

Suggested Citation

  • Victor Hugo Puican Rodriguez & Liliana del Carmen Suárez Santa Cruz & Abel Salazar Asalde & Alejandro Alcántara Suyón & Freddy Manuel Camacho Delgado, 2024. "The Effect of Taxes and Tax Refunds on the Economic Activity of the Energy Industry in Peru," International Journal of Energy Economics and Policy, Econjournals, vol. 14(4), pages 36-47, July.
    • Handle: RePEc:eco:journ2:2024-04-4
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    References listed on IDEAS

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    More about this item

    Keywords

    Taxation; Tax Refunds; Energy Industry; Peru;
    All these keywords.

    JEL classification:

    • C32 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Time-Series Models; Dynamic Quantile Regressions; Dynamic Treatment Effect Models; Diffusion Processes; State Space Models
    • O13 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Agriculture; Natural Resources; Environment; Other Primary Products
    • H23 - Public Economics - - Taxation, Subsidies, and Revenue - - - Externalities; Redistributive Effects; Environmental Taxes and Subsidies

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