Estimating the output maximising tax-to-GDP ratio in Bangladesh

About this Event

Please join us for the upcoming ACDE PhD Seminar on Wednesday 4 November 2026. Bangladesh has a long history of weak revenue mobilisation, creating pressure to strengthen fiscal capacity through greater revenue collection. This raises an important policy question: what tax to GDP ratio is associated with the highest level of real output in Bangladesh? I address this question by identifying the optimal tax to GDP ratio for Bangladesh through the development of a new theory based model, the Public Capital–Tax Distortion PCTD Model, and by applying two complementary benchmark approaches: the Scully model and a quadratic model. Using annual data from 1976 to 2023, the Scully and quadratic models are estimated using autoregressive distributed lag ARDL models, while the PCTD…

This preview is intentionally limited. Unlock full access to view complete context, speakers, and supporting event materials.