spillovers from mobility or trading across control and treatment groups. We account for these spillovers by combining quasi …-experimental estimate. In our setting, relying only on the quasi-experiment and ignoring the spillovers would lead to a 20% underestimation …

We extend the literature on local income tax competition by allowing for inter-jurisdictional spillovers and imperfect … the theoretical model, which reveals that free-riding rises unambiguously in the level of spillovers, whereas the welfare … losses from (1) and (3) depend nonlinearly on the levels of spillovers and rivalry. …

particular, we assume the existence of three jurisdictions, i, j and z, as well as of spillovers. Given this simple framework, we … show that if jurisdictions compete to attract mobile capital, spillovers can lead to asymmetric responses. In fact …