caa a22 4500 386316465 CHVBK 20180307111607.0 cr unu---uuuuu 161130e198807 xx s 000 0 eng 10.1017/S0081305200025772 doi S0081305200025772 pii (NATIONALLICENCE)cambridge-10.1017/S0081305200025772 Lynne Gary D. Food and Resource Economics Department, University of Florida Machinery Replacement, Multiple Optima, and the 1986 Tax Reform Act [Elektronische Daten] [Gary D. Lynne] The 1986 Tax Reform Act established a first year $10,000 expensing option and, for most farm equipment, a 7-year depreciation schedule. Under a profit maximization criterion, these tax law features can lead to multiple optima dependent upon discount and marginal tax rates. For example, the economically efficient time to reinvest under a 2 percent after-tax discount rate is at 4, 8, and 30 years for the grower in a 33 percent tax bracket. Thus, the profit maximization behavioral rule needs to be supplemented with knowledge about a farmer's objectives in order to select the "correct” optimal reinvestment interval. Copyright © Southern Agricultural Economics Association 1988 machinery reinvestment nationallicence taxes nationallicence farmer behavior nationallicence Southern Journal of Agricultural Economics Cambridge University Press 20/1(1988-07), 179-187 0081-3052 20:1<179 1988 20 AAE https://doi.org/10.1017/S0081305200025772 text/html Onlinezugriff via DOI 1 other jats NATIONALLICENCE 856 40 https://doi.org/10.1017/S0081305200025772 text/html Onlinezugriff via DOI NATIONALLICENCE 100 1- Lynne Gary D. Food and Resource Economics Department, University of Florida NATIONALLICENCE 773 0- Southern Journal of Agricultural Economics Cambridge University Press 20/1(1988-07), 179-187 0081-3052 20:1<179 1988 20 AAE CC0 http://creativecommons.org/publicdomain/zero/1.0 nationallicence BK010053 XK010053 XK010000 NATIONALLICENCE NATIONALLICENCE NL-cambridge