SIFR Research Report Series, Institute for Financial Research
The Evolution of Aggregate Stock Ownership - A Unified Explanation
(), Joshua Spizman
() and Ilya Strebulaev
Abstract: Since World War II, direct stock ownership by households
has largely been replaced by indirect stock ownership by financial
institutions. We argue that tax policy is the driving force. Using long
time-series from eight countries, we show that the fraction of household
ownership decreases with measures of the tax benefits of holding stocks
inside a pension plan. This finding is important for policy considerations
on effctive taxation and for financial economics research on the long-term
effects of taxation on corporate finance and asset prices.
Keywords: Capital gains tax; income tax; stock ownership; inflation; bracket creep; pension funds; (follow links to similar papers)
JEL-Codes: G10; G20; H22; H30; (follow links to similar papers)
53 pages, September 15, 2009
Before downloading any of the electronic versions below
you should read our statement on
for viewing Postscript files and the
Acrobat Reader for viewing and printing pdf files.
Full text versions of the paper:
Questions (including download problems) about the papers in this series should be directed to Anki Helmer ()
Report other problems with accessing this service to Sune Karlsson ()
or Helena Lundin ().
Design by Joachim Ekebom