Post by arfankj4 on Mar 9, 2024 1:34:19 GMT -6
These results are particularly relevant in light of continued corporate attempts to generate support in the Congress for another one time tax break on repatriated foreign income in line with the AJCA of . Overall the study suggests that the very high returns to political investment heralded in the press obtained through descriptive methods are in fact nearly an order of magnitude smaller when more rigorously estimated via instrumentation.
Key concepts include Prior research has shown that firms generally use three different methods of political spending in complement with one another. It is thus more meaningful to consider three return estimates jointly. In this current paper for the median firm in the sample an increase of million in lobbying Poland Mobile Number List contributions over the firm s prior cycle contributions is associated with . million in taxes saved on repatriated foreign income. An increase of in PAC political action committee contributions is associated with about . million in taxes saved. The additional filing of ten tax related lobbying reports is associated with about . million in taxes saved. of high rates of return on corporate political investment but evidence for this puzzle is largely descriptive in nature.
We exploit the setting of the American Jobs Creation Act s passage in to provide more robust estimates of political returns based on instrumentation in a two stage regression model. We find for the median sample firm that an increase of million in lobbying spending is associated with about . million in taxes saved. These estimates while consistent with a high returns puzzle are nearly an order of magnitude lower than those previously reported via descriptive methods.
Key concepts include Prior research has shown that firms generally use three different methods of political spending in complement with one another. It is thus more meaningful to consider three return estimates jointly. In this current paper for the median firm in the sample an increase of million in lobbying Poland Mobile Number List contributions over the firm s prior cycle contributions is associated with . million in taxes saved on repatriated foreign income. An increase of in PAC political action committee contributions is associated with about . million in taxes saved. The additional filing of ten tax related lobbying reports is associated with about . million in taxes saved. of high rates of return on corporate political investment but evidence for this puzzle is largely descriptive in nature.
We exploit the setting of the American Jobs Creation Act s passage in to provide more robust estimates of political returns based on instrumentation in a two stage regression model. We find for the median sample firm that an increase of million in lobbying spending is associated with about . million in taxes saved. These estimates while consistent with a high returns puzzle are nearly an order of magnitude lower than those previously reported via descriptive methods.