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Tax Changes and Asset Pricing: Time-Series Evidence / Clemens Sialm.

NBER Working papers Available online

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Format:
Book
Author/Creator:
Sialm, Clemens.
Contributor:
National Bureau of Economic Research.
Series:
Working Paper Series (National Bureau of Economic Research) no. w11756.
NBER working paper series no. w11756
Language:
English
Physical Description:
1 online resource: illustrations (black and white);
Other Title:
Tax Changes and Asset Pricing
Place of Publication:
Cambridge, Mass. National Bureau of Economic Research 2005.
Summary:
The effective tax rate on equity securities has fluctuated considerably in the U.S. between 1917-2004. This study investigates whether personal taxes on equity securities are related to stock valuations using the time-series variation in tax burdens. The paper finds an economically and statistically significant relationship between asset valuations and personal tax rates. Consistent with tax capitalization, stock valuations tend to be relatively low when tax burdens are relatively high.
Notes:
Print version record
November 2005.

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