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Impact of the Tax Reform Act of 1986 on a Cross Section of U.S. Dairies
Author(s) -
McGuckin Tom,
Welsh Gail,
Glinsmann Rodney J.,
Bruner Gary
Publication year - 1988
Publication title -
applied economic perspectives and policy
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 1.4
H-Index - 49
eISSN - 2040-5804
pISSN - 2040-5790
DOI - 10.1093/aepp/10.2.191
Subject(s) - value added tax , tax reform , section (typography) , investment (military) , tax reform act , economics , tax credit , value (mathematics) , capital (architecture) , ad valorem tax , business , public economics , state income tax , political science , geography , gross income , mathematics , advertising , archaeology , politics , law , statistics
This paper analyzes the impact of the Tax Reform Act of 1986 (TRA) on the economic, feasibility of dairies for owner/operators and for general partnerships. The analysis examines the present value of total capital investment using the Economic Recovery Tax Act (ERTA) and TRA tax rules for different sized dairy units located throughout the U.S. using a twenty‐year dynamic simulation model of a dairy farm.