How does depreciations management affect subsequent fiscal performance ? : The case of the Swiss cantons

Details

Ressource 1Download: 30443500_BIB_A20C4E6A2EBF.pdf (599.03 [Ko])
State: Public
Version: Final published version
License: CC BY 4.0
Serval ID
serval:BIB_A20C4E6A2EBF
Type
Article: article from journal or magazin.
Collection
Publications
Institution
Title
How does depreciations management affect subsequent fiscal performance ? : The case of the Swiss cantons
Journal
Swiss Journal of Economics and Statistics
Author(s)
Clémenceau Maxime, Soguel Nils
ISSN
2235-6282
Publication state
Published
Issued date
12/2018
Volume
154
Number
1
Language
english
Abstract
Creative accounting allows governments and, more particularly, finance ministers to somehow manage financial reports to achieve specific and possibly self-interested goals. It is usually used to hide deficits. It sometimes also helps to present financial performance as being more worrisome than it actually is. In that case, ministers press more than needed for lower expenses and a higher tax burden. This pressure is expected to tame deficits or increase surpluses over time. Using panel data relative to the 26 Swiss cantons over the period 1980–2013, we estimate econometrically how a political finessing technique like ‘depreciations management’ affects subsequent government expenses and revenues and thus subsequent financial performance.
Keywords
Creative accounting, depreciations management, government deficits, Swiss cantons, simultaneous equation model
Open Access
Yes
Create date
12/02/2018 8:02
Last modification date
21/08/2019 7:09
Usage data