A graphic explanation on how a tax on exports neutralizes the Dutch disease without costs to exporters

The adequade way of neutralizing the Dutch disease is the imposition of a variable tax on the export of the commodity that originates the disease. If such tax is equivalent to the "size" of the Dutch disease, it will shifts to the right its supply curve of the commodity in relation to the...

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Detalles Bibliográficos
Autor: Bresser-Pereira, Luiz Carlos
Tipo de recurso: artículo
Estado:Versión publicada
Fecha de publicación:2012
País:Brasil
Institución:EDITORA 34
Repositorio:Revista de Economia Política
Idioma:inglés
OAI Identifier:oai:ojs2.centrodeeconomiapolitica.org:article/378
Acceso en línea:https://centrodeeconomiapolitica.org.br/repojs/index.php/journal/article/view/378
Access Level:acceso abierto
Palabra clave:taxa de câmbio
doença holandesa
taxa sobre exportações
exchange rate
Dutch disease
tax on exports
Descripción
Sumario:The adequade way of neutralizing the Dutch disease is the imposition of a variable tax on the export of the commodity that originates the disease. If such tax is equivalent to the "size" of the Dutch disease, it will shifts to the right its supply curve of the commodity in relation to the exchange rate, giving the existing domestic sypply and the international demand, the exchange rate will depreciate at the value of the tax, and the quiligrium exchange rate will move from the "current" to the "industrial" equilibrium. JEL Classification: F31; F4; O11.