Avaliação da Política de Incentivos Fiscais sobre a capacidade fiscal, ISS, emprego e valor adicionado bruto da indústria no estado do Pará

Abstract

During the late 1990 Brazilian states triggered a sharp fiscal competition to attract private investment and promote regional development. The competition was mainly tax, distinguishing himself by granting exemptions from payment of ICMS for companies that settle in their territory, what became known as “tax war”. This research evaluates the effects of the tax incentives policy of the state of Para on their fiscal capacity, ISS revenue, job creation and the gross value added industry. The assessment consists of using two econometric models that compare the behavior of observed variables in two distinct periods, before and during the war. Estimative show that the variables did not shown change in behavior over the period of tax competitions, suggesting that the policy implemented by the state government has not had the desired effect.