%0 Journal Article
%T REVENUE ELASTICITY OF THE MAIN FEDERAL TAXES IN MEXICO
%A Fonseca
%A Felipe J
%A Ventosa-Santaularia
%A Daniel
%J Latin american journal of economics
%D 2011
%I Scientific Electronic Library Online
%X an inelastic tax system increases the uncertainty associated with tax revenue collection. this results in continuous short-term adjustments to maintain the stability of tax collection. in this paper, we estimate the revenue elasticity of the principal taxes in mexico, finding a much greater elasticity than that found in previous studies. a cointegration model between the revenue and taxes is used which satisfies strong exogeneity, providing a basis for congruent and reliable projections. using this model, the tax revenue projected for 2011 is much lower than the estimates prepared by mexico's federal government.
%K federal taxes
%K long-term revenue elasticity
%K cointegration
%K strong exogeneity
%K forecasts.
%U http://www.scielo.cl/scielo.php?script=sci_abstract&pid=S0719-04332011000100004&lng=en&nrm=iso&tlng=en