Matsumoto, Mutsumi; Feehan, James P. - In: Regional Science and Urban Economics 40 (2010) 2-3, pp. 116-121
Contrary to the dominant view of inefficient tax competition, Oates and Schwab (1991) show that capital-tax financing of public inputs leads to efficiency when the supply of these inputs is conditioned on business investment (Oates, W.E., Schwab, R.M., 1991. The allocative and distributive...