The political economy of sales taxes and sales tax exemptions

I analyze the choice politicians face when seeking votes from groups that lobby for sales tax rate decreases or tax exemptions, given the constraint that politicians want to raise a certain amount of revenue. Using data on sales taxes, I develop a model predicting a positive relationship between the number of exemptions and the sales tax rate. The estimation results provide support for this prediction. Each additional exemption is associated with an increase of between 0.10 and 0.25 percentage points in the tax rate.

     

Centers of Gravity: Regional Powers,Democracy, and Trade

Classic studies on hegemonic stability and power transition suggest that concentration of capabilities favoring a single state can promote economic cooperation and discourage militarized conflict. However, tests of these arguments have been primarily limited to examining temporal variation in global capability distributions and corresponding levels of system-wide cooperation; few have examined the impact of capability concentration at the region level. In this article, we contend that concentration of regional military capabilities corresponds to lower trade costs for states throughout a region and to an incentive for weaker states to de-prioritize expenditure on the military, freeing resources that can be used to promote trade. As a result, this condition promotes higher levels of trade, particularly within the region. We also argue that democratic regional powers are better able to foster confidence in the sustainability of cooperation; thus, the trade-enhancing impact of concentrated regional capabilities is stronger when the predominant state is more democratic. We find evidence in support of our expectations in statistical models examining state trade between 1960 and 2007.     

The rise of China—challenges and opportunities for the European Union

Asia Europe Journal - China’s growing power and influence raise important and inescapable questions for countries and societies around the world, not least for Europe. A rising China offers...     

Police Perceptions of Irrational Unstable Behaviours and Use of Force

Police identification of people experiencing mental illness is usually based on either the person having an official contact history with police or through observing behavioural indicators commonly associated with mental illness during an encounter. Police have voiced concerns with their ability to identify and respond to people experiencing mental illness in a timely way and report that they commonly resort to more coercive tactical options to resolve encounters. The present study employed a mixed method design to examine 286 police use of force incidents to investigate the association between force used on and by offenders displaying irrational-unstable behavioural characteristics. The irrational-unstable offenders were two times more likely to be perceived by police to have an apparent mental disorder and almost four times more likely to have a known mental health history; one in six had an official record of contact with mental health services. There were few differences in police and offender use of force, considering force as both a categorical and a continuous variable, while incident-level comparisons suggested that police force was generally proportional to offender resistance. Implications are discussed in terms of the need to redress limitations with the traditional police approach style.     

Security Providers: Obstacles to Effectiveness in Democracies

To usefully discuss security, one must analyze the security providers states utilize to enhance international and domestic security. These are the armed forces, police, and intelligence agencies. This paper analyzes the implications of democratization on the requirements—posited as strategies, resources, and coordination institutions—these providers require in order to achieve the goals civilian leaders set for them. In analyzing case studies of how nations implement six different tasks, it becomes clear that the absence, or weakness, in any of the requirements leads to serious weakness in implementation. Two findings from the case studies are particularly important for policy. First, presidents, who are elected directly and for fixed terms, may ignore or even abolish institutions, including national security councils, that are created to coordinate policy. Second, as civilians are in control, if they lack clear incentives they are not willing to provide the necessary requirements for the security providers.