Min(d)ing the President: A text analytic approach to measuring tax news

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Tác giả: Rui Jorge Almeida, Nalan Baştürk, Adam Jassem, Lenard Lieb, Stephan Smeekes

Ngôn ngữ: eng

Ký hiệu phân loại: 070.432 Documentary media, educational media, news media; journalism; publishing

Thông tin xuất bản: 2021

Mô tả vật lý:

Bộ sưu tập: Metadata

ID: 166699

Economic agents react to signals about future tax policy changes. Consequently, estimating their macroeconomic effects requires identification of such signals. We propose a novel text analytic approach for transforming textual information into an economically meaningful time series. Using this method, we create a tax news measure from all publicly available post-war communications of U.S. presidents. Our measure predicts the direction and size of future tax changes and contains signals not present in previously considered (narrative) measures of tax changes. We investigate the effects of tax news and find that, for long anticipation horizons, pre-implementation effects lead initially to contractions in output.
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