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Full-Text Articles in Social and Behavioral Sciences
Capturing The Effects Of Capital Subsidies, David Lim
Capturing The Effects Of Capital Subsidies, David Lim
Support & Other Units (THEi)
Most developing countries provide fiscal incentives to encourage domestic and foreign investment. This study shows that these schemes subsidise significantly the use of capital and produce greater capital intensity in Malaysian manufacturing. These results were obtained by conducting the analysis at the establishment level, which avoids the artificial aggregation of establishments with different production structures into an industry‐group and having to choose an appropriate weighting system in the aggregation process.
Another Look At The Effect Of Capital Subsidies On Capital-Intensity, David Lim
Another Look At The Effect Of Capital Subsidies On Capital-Intensity, David Lim
Support & Other Units (THEi)
In an earlier paper in this journal, I examined the effect that the provision of capital subsidies, in the form of tax holidays whose duration depends on the level of capital investment, had on the capital-intensity of manufacturing in Peninsular Malaysia. The following basic equations were estimated, by ordinary least squares, for twelve industry-groups for 1972...