This paper analyzes the impact of fiscal competition through infrastructure in a New Economic Geography framework. It … is shown that regional competition leads to convergence if the trade costs are high but induces divergence if trade cost … have fallen below a certain value. Moreover, fiscal competition yields an overprovision if the trade costs are sizable …

This paper introduces a new rationale for the existence of “Directors' and Officers'” (D&O) insurance. We use a model …-term increases in stock prices that do not maximize long run stock market value. We show that D&O insurance provides a convenient … in capital markets. The empirical results support the idea that both the insurance coverage and the premium are higher in …

Should we exempt the services of insurance companies from VAT? Addressing this issue, the paper distinguishes between … insurance against a general loss of resources and a loss of a specific commodity (property insurance). There is a case for … exempting the former kind of insurance, but not the latter. Finally, comparing insurance through a producer warranty with …