Arbeitspapier

Strategic fiscal interaction among OECD countries

This paper investigates whether OECD countries compete with each other for mobile factors by using various fiscal (tax-spending) policy instruments. We use a panel dataset of 20 OECD countries over the 1982-2000 period. There is evidence that international capital inflows (FDI) are affected by fiscal policy at home and abroad. Also, there is evidence of fiscal competition for mobile factors which takes place via capital tax rates. More precisely, we find that domestic capital tax rates react: (i) positively to changes in capital tax rates and (ii) negatively to changes in public investment spending in neighbouring countries. In contrast, evidence of such a strategic interdependence over public investment spending decisions is not established.

Sprache
Englisch

Erschienen in
Series: EERI Research Paper Series ; No. 11/2009

Klassifikation
Wirtschaft
International Economic Order and Integration
Thema
Capital mobility
tax competition
welfare

Ereignis
Geistige Schöpfung
(wer)
Kammas, Pantelis
Ereignis
Veröffentlichung
(wer)
Economics and Econometrics Research Institute (EERI)
(wo)
Brussels
(wann)
2009

Handle
Letzte Aktualisierung
10.03.2025, 11:47 MEZ

Datenpartner

Dieses Objekt wird bereitgestellt von:
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Objekttyp

  • Arbeitspapier

Beteiligte

  • Kammas, Pantelis
  • Economics and Econometrics Research Institute (EERI)

Entstanden

  • 2009

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