01698cas a2200241 a 4500 AALejournalIMF007154 230101c9999 xx r poo 0 0eng d 5.00 USD 9781455253340 1018-5941 BD-DhAAL BD-DhAAL Mooij, Ruud A. The Tax Elasticity of Corporate Debt : A Synthesis of Size and Variations / Ruud A. Mooij. Washington, D.C. : International Monetary Fund, 2011. 1 online resource (27 pages) IMF Working Papers <strong>Off-Campus Access:</strong> No User ID or Password Required <strong>On-Campus Access:</strong> No User ID or Password Required Electronic access restricted to authorized BRAC University faculty, staff and students Although the empirical literature has long struggled to identify the impact of taxes on corporate financial structure, a recent boom in studies offers ample support for the debt bias of taxation. Yet, studies differ considerably in effect size and reveal an equally large variety in methodologies and specifications. This paper sheds light on this variation and assesses the systematic impact on the size of the effects. We find that, typically, a one percentage point higher tax rate increases the debt-asset ratio by between 0.17 and 0.28. Responses are increasing over time, which suggests that debt bias distortions have become more important. Mode of access: Internet IMF Working Papers; Working Paper ; No. 2011/095 Full text available on IMF http://elibrary.imf.org/view/journals/001/2011/095/001.2011.issue-095-en.xml IMF e-Library