Note(s): This table presents the estimated accumulated effect of taxes on prices for different versions of the model described in Equation (1) and for products whose prices are collected in at least two metropolitan regions in the period. The specification (1) refers to the version of the model presented in Table 1. The specifications (1A), (1B) and (1C) refer to the model presented in Table 1, but estimated only using the costs from SINAPI (see Table C1 in the Supplementary Material for details), and only with costs built using the local aggregate IPCA (see Table C2 in the Supplementary Material for more information) and with no cost variables (see Table C3 in the Supplementary Material for details), respectively. The specification (1D) refers to the model presented in Table 1, but estimated with prices deflated by the aggregate national IPCA (see Table C4 in the Supplementary Material for details). The specification (1E) refers to the model presented in Table 1, but is restricted to the sample of products found in all four regions (see Table C5 in the Supplementary Material for details). The standard deviations, robust for heteroscedasticity, serial autocorrelation and spatial dependence (Driscoll and Kraay, 1998), are in parentheses. No product in category 1103 experienced changes in tax rate, preventing the estimation of a pass-through rate of ICMS to prices. The symbols *, ** and *** indicate parameters statistically different from zero at 10, 5 and 1% significance level, respectively

Source(s): Authors’ elaboration