Queensland Economy Watch

In March, there was extensive media coverage (e.g. in the Guardian Australia) of shadow assistant treasurer Andrew Leigh’s company tax research which found companies paying lower effective company tax rates (i.e. actual tax paid/profits) did not create more jobs than those paying higher effective tax rates, and may actually create fewer jobs. The research paper was published in Economic Analysis and Policy (EAP), the online journal of the Economic Society of Australia (QLD) of which I’m Vice President, although this is a personal comment on my part, and I am not on the editorial committee of EAP.

I am very pleased that RMIT’s Sinclair Davidson has converted his critique of Andrew Leigh’s paper, originally published at Catallaxy Files, into a submission to EAP. Davidson’s paper has been published along with a reply by Andrew Leigh, which in my view doesn’t effectively counter the major criticism Davidson makes, that…

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