The last decade has seen the burgeoning of several hundred local community currency institutions in cities across the world. Although residents of these communities claim that local currency promotes local development, how if at all it does so has hitherto been unexplored. This paper argues that...

It is often argued that even if optimal ex-post, settlement dilutes deterrence ex-ante. We analyze the interest for the tax authority of committing, ex-ante, to a settlement strategy. We show that to commit to the use of settlements is ex-ante optimal when the tax authority receives signals that...

We construct game theoretic foundations for bargaining in the shadow of a trial. Plaintiff and defendant both have noisy signals of a common-value trial judgment and make simultaneous offers to settle. If the offers cross, they settle on the average offer; otherwise, both litigants incur an...

We assume that students can acquire a wage premium, thanks to studies, and form a rational expectation of their future earnings, which depends on personal "ability". Students receive a private, noisy signal of their ability, and universities can condition admission decisions on the results of...

We develop a dynamic two-party political economy framework, in which parties seek to maximize vote share and face the trade-off between catering to their respective core constituencies on the one hand and ‘middle of the road’ voters with no partisan affiliation on the other hand. In contrast...

Measuring effective tax rates using tax revenue data is attractive, given that revenues collected capture the net effect of tax provisions and taxpayer behaviour that are difficult to model. Yet reliance on aggregate tax and income data requires restrictive assumptions and significantly limits...

The residence-based taxation of interest income in the EU faces the difficulty that taxpayers may evade taxation by holding bank accounts in other countries. The EU therefore makes considerable efforts to achieve cooperation among EU member states in order to improve tax enforcement. The present...

This article reviews the main technical and policy problems which the implementation of two formats of comprehensive solutions, discussed in the recent report by the Commission on 'Company Taxation in the Internal market' would require. Both approaches imply the consolidation within the EU of...

The paper has three aims. First, it presents the specific forward-looking methodology applied in the quantitative analysis undertaken in the Commission study, and discusses how it is able to overcome some of the most important limitations of the traditional King Fullerton approach. Second, it...