A few years ago Mason and Harrison (2002) reported investment outcomes for business angel investors in the UK, one of the very few investigations of performance data for these informal venture capitalists. In answer to the question of "Is it worth it" they raised several concerns about the risk profile of angel investors, where investment failures are the rule rather than the exception. However, their results relative to formal venture capital outcomes (Murray 1999) showed significantly lower proportions of investment failure and comparable "homerun" outcomes. It may well be worth it, but significantly more information is still needed.
In 2003, the Bush Administration introduced the Jobs and Growth Tax Relief Reconciliation Act (JGTRRA) which, amongst other reforms, lowered dividend and capital gains taxes. This act is expected to sunset at the end of this year and the current administration has to decide whether to extend it or not. This paper contributes to the current debate on this issue by analyzing the quantitative effects of these capital income tax changes in a dynamic stochastic general equilibrium model calibrated to US data.
There has been considerable evolution in India’s exchange rate regime over the reform years. The shift has been from a nominal fix to one-way nominal movement over the nineties to two-way with low volatility implying a tightly managed exchange rate, to greater volatility and nominal movement after the global crisis.
