Value-Energy Interrelationship and Dynamic Added Value Taxation

Abstract

Energy and system grounds of economy and its taxation subsystem based on operational identity (isomorphism) between economy and electric power amplifier are considered. Consistent economy treating as an added value amplifier allows coupling monetary and energy units in the form of value-energy correlation characterizing economic efficiency and growth. For well-developed economy, this correlation is approximated by electric energy price. System stability requirements lead to the concept of dynamic added value taxation (DAVT) performing powerful economy regulating functions. In particular, DAVT can serve as an effective mean for stabilizing energy-carriers prices. To define more precisely value-energy isomorphism, system interrelationship between added value and Gibbs free energy is discussed.

JEL codes: E63, H21, O11, 023, Q43

Keywords

added value economic efficiency economy regulation energy prices tax reform

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