Economic growth and the role of taxation – aggregate data

 

Gareth D. Myles

 

OECD Economics Department WP 714 (2009)

 

 

Economic growth is the basis of increased prosperity. This makes the attainment of growth a key objective for governments across the world. The rate of growth can be affected by policy choices through the effect that taxation has upon economic decisions and through productive public expenditures. This paper surveys research that has undertaken empirical analysis of aggregate data. The focus of the survey is the identification of the factors that determine the rate of growth.