BICEPS/SSE Riga Research Seminar: Tax Incentives to Encourage Corporate Investment in Latvia

We kindly invite you to the BICEPS/SSE Riga research seminar! It will take place on Thursday, May 23 at 17.00 in room 611 with the presentation:

“Tax Incentives to Encourage Corporate Investment in Latvia” by Mihails Hazans (University of Latvia, IZA, and GLO), co-authored with Anna Pluta (BICEPS).


This paper analyzes the effect of accelerated depreciation (AD) policy on firm investment using administrative firm‐level data for 2007–14. We find that past use of AD had a positive effect on firm investment rates. The effect is stronger in industries with most of their assets in long-duration categories, among enterprises with fewer than six employees and among firms whose turnover is highly volatile. AD of new equipment has a significant effect both on next year investment rate and on probability to invest next year, but only for firms with six to ten workers. AD in specially assisted areas has boosted investment decisions after lifting the restrictive project requirement for this category of AD.


No prior registration for the seminar is necessary. For any questions about the seminar, or if you have a colleague that would like to be added to the distribution list, please write to Nicolas Gavoille.