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Fiscal Spillovers: The Case of US Corporate and Personal Income Taxes

Staff working paper 2021-41 Madeline Hanson, Daniela Hauser, Romanos Priftis
How do changes to personal and corporate income tax rates in the United States affect its trading partners? Spillover effects from cuts in the two taxes differ. They are generally small and negative for corporate taxes, but sizable and positive for personal income taxes.
Content Type(s): Staff research, Staff working papers JEL Code(s): E, E3, E32, E6, E62, F, F4, F44, H, H2, H20 Research Theme(s): Financial system, Financial stability and systemic risk, Monetary policy, Real economy and forecasting, Structural challenges, International trade, finance and competitiveness
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