Min(d)ing the President: A text analytic approach to measuring tax news
Fuente:
arXiv
Saved in:
| Main Authors: | , , , , |
|---|---|
| Format: | Preprint |
| Published: |
2021
|
| Subjects: | |
| Online Access: | |
| Tags: |
Add Tag
No Tags, Be the first to tag this record!
|
| _version_ | 1866913629946773504 |
|---|---|
| author | Lieb, Lenard Jassem, Adam Almeida, Rui Jorge Baştürk, Nalan Smeekes, Stephan |
| author_facet | Lieb, Lenard Jassem, Adam Almeida, Rui Jorge Baştürk, Nalan Smeekes, Stephan |
| contents | Economic agents react to signals about future tax policy changes. Consequently, estimating their macroeconomic effects requires identification of such signals. We propose a novel text analytic approach for transforming textual information into an economically meaningful time series. Using this method, we create a tax news measure from all publicly available post-war communications of U.S. presidents. Our measure predicts the direction and size of future tax changes and contains signals not present in previously considered (narrative) measures of tax changes. We investigate the effects of tax news and find that, for long anticipation horizons, pre-implementation effects lead initially to contractions in output. |
| format | Preprint |
| id |
arxiv_https___arxiv_org_abs_2104_03261 |
| institution | arXiv |
| publishDate | 2021 |
| record_format | arxiv |
| spellingShingle | Min(d)ing the President: A text analytic approach to measuring tax news Lieb, Lenard Jassem, Adam Almeida, Rui Jorge Baştürk, Nalan Smeekes, Stephan Econometrics Economic agents react to signals about future tax policy changes. Consequently, estimating their macroeconomic effects requires identification of such signals. We propose a novel text analytic approach for transforming textual information into an economically meaningful time series. Using this method, we create a tax news measure from all publicly available post-war communications of U.S. presidents. Our measure predicts the direction and size of future tax changes and contains signals not present in previously considered (narrative) measures of tax changes. We investigate the effects of tax news and find that, for long anticipation horizons, pre-implementation effects lead initially to contractions in output. |
| title | Min(d)ing the President: A text analytic approach to measuring tax news |
| topic | Econometrics |
| url | https://arxiv.org/abs/2104.03261 |